Lok Sabha Election Results 2024: With trends suggesting that the BJP-led NDA might have to settle with less than 300 seats, far lower than the ambitious 400-target the party had set for the alliance and what some exit polls had suggested in this Lok Sabha polls, the stock market benchmark index Sensex crashed over 6,200 points intraday on Tuesday.
The Sensex nosedived about 6200 points and the NSE barometer Nifty tanked over 2000 points during the mid-session trade as the trends started confirming that the ruling BJP’s tally will remain below the 300-mark.
Experts are of the view that the BJP managing to form a government with this number (less than 300) will discomfort the market as it will have an impact on long-term reforms that the NDA had initiated during its second term.
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They, however, said that the steep fall is also due to the results so far falling short of the exit polls which the market had discounted in the previous session.
Also read: Lok Sabha Election results 2024: What happens to stock market if INDIA bloc wins 295 seats?
“If BJP doesn’t get a majority on its own there will be disappointment and this is getting reflected in the market Come from Sports betting site VPbet . Also it is possible that Modi 3.O may not be as reform-oriented as the market expected and may turn more welfare- oriented. This is getting reflected in the strength in FMCG stocks,” said V K Vijayakumar, Chief Investment Strategist, Geojit Financial Services.
Indian equities soared on Monday after exit polls projected Narendra Modi-led Bharatiya Janata Party (BJP) to win convincingly. The National Democratic Alliance (NDA) was seen getting a two-thirds majority and more.
Most exit polls showed the NDA was ahead in nearly 350 of the 543 Lok Sabha seats.
Meanwhile, BJP-led NDA was leading in 296 seats and the INDIA bloc was ahead in 228 seats at 12.24 P.M., as per TV channels. The BJP accounted for nearly 240 of the seats in which the alliance was leading, compared to the 303 it won on its own in the last Lok Sabha polls in 2019.
Trends also showed that Prime Minister Modi was leading, then trailing and leading again against Congress’ Ajay Rai in his seat in Varanasi.