The benchmark Bombay Stock Exchange Sensex rose over 600 points on the late afternoon session of the trade on Wednesday after Indian National Congress won assembly elections 2018 by 3-0 in Hindi Heartland States – Madhya Pradesh, Rajasthan, and Chhatisgarh.
“With the crude oil prices under control and no hike in interest rates, the corporates are expected to post good results. The investors are now shifting their focus from elections,” said Astha Jain, a senior analyst at Hem Securities.
The Nifty50 traded at 10,732.60 points, higher by 183.45 or 1.74 percent from the previous close.
“The positivity is surprising but there is a possibility that the markets are comfortable from the fact that either the Congress or BJP will be dominant during the general elections,” Rusmik Oza, Head-Fundamental Research, Kotak Securities, told IANS.
“The economy has always grown better with a majority or a coalition by governments by Congress or BJP”
According to analysts, the markets ignored the sudden resignation of Urjit Patel of RBI Governor, perhaps because it might lead to a more liberal monetary policy with the appointment of Shaktikanta Das as the new Reserve Bank of India Governor.