India: The share market surges as exit polls predict political stability, with Sensex and Nifty hitting record highs. Key performers include Adani Ports and NTPC. Read about the market’s response and the impact of GDP growth on investor sentiment.
Stock Market Soars Amid Political Stability Hopes: Sensex and Nifty Hit Record Highs
The share market witnessed a significant surge in early trade, fueled by hopes of political stability as predicted by the exit polls. The 30-share Sensex rallied nearly 2,500 points this morning, while the 50-stock Nifty recorded its biggest jump in four years during the market opening.
Record Highs for Sensex and Nifty
Both Sensex and Nifty, the indexes of the Bombay Stock Exchange and the National Stock Exchange, reached record high levels today. All stocks in the Sensex and Nifty are currently in the green.
Impressive Pre-Open Gains
At pre-open, Nifty surged over 800 points or 3.58% to 23,227.90, while the Sensex jumped 2,621.98 points or 3.55% to 76,583.29.
Top Performers Leading the Rally
Adani Ports, Adani Enterprises, Power Grid, Shriram Finance, and NTPC are among the top performers driving the market rally with significant gains. The latest GDP data suggesting a robust 8.2% fiscal growth also bolstered market sentiment.
Market Sentiments Boosted by GDP Growth
“Buoyant sentiments are driven by India’s impressive Q4FY24 GDP growth of 7.8 per cent, surpassing expectations, with the fiscal year’s growth standing at 8.2 per cent,” said Varun Aggarwal, founder and managing director of Profit Idea. He also cautioned that the market will remain volatile in anticipation of the results pending tomorrow.
Political Stability Fuels Market Optimism
An aggregate of 12 exit polls on Saturday predicted that the BJP will return to power, with the ruling NDA alliance expected to secure 365 seats. A party or alliance needs at least 272 seats to form a government in the country. Analysts suggest that the market favors political stability, as a change in government typically risks causing market volatility.
Exit Poll Predictions and Market Reactions
The exit polls also forecast that the BJP is set to gain ground in Kerala and Tamil Nadu in the south, and make significant gains in Odisha and Bengal in the east. However, it is important to note that exit polls are not always accurate.
Opposition’s Response to Exit Polls
While the BJP has welcomed the exit poll predictions, the Opposition has dismissed the forecast, arguing that the actual results will paint a different picture. Following a meeting of the Opposition leaders part of the INDIA bloc, Congress chief Mallikarjun Kharge stated that the bloc expects to win at least 295 seats out of the total 543.
