After the ruling BJP’s decisive victory in three of the five state assembly elections in 2023, India’s benchmark indexes, the Sensex and Nifty, opened on Tuesday with yet another spike, setting yet another record. Following the announcement of four states’ results on Sunday, the markets saw a sharp increase on Monday morning.
As a result of the Bharatiya Janata Party (BJP) winning the elections in three significant states—Madhya Pradesh, Rajasthan, and Chhattisgarh—Sensex and NSE Nifty reached an all-time high on Tuesday, just 24 hours after experiencing the largest ever spike.
As of 9:51 a.m. IST, the S&P BSE Sensex was up 0.50% to 69,204.10, while the NSE Nifty 50 index increased by 0.52% to 20,794.50 points.
Public sector banks added 1.3%, while banks gained 0.7%. A number of brokerages selected large-caps and financials as their top sectors because they expected domestic equity to rise ahead of the 2024 Lok Sabha elections.
Of the Nifty companies, 27 experienced growth, and 23 experienced contraction. Top losers included HCL, Infosys, Bajaj Auto, Bajaj Finserv, and NTPC, while top gainers included BPCL, Axis Bank, Adani Enterprises, Adani Ports, and Dr. Reddy.
Day 2 of the post-election stock market spike saw positive trends continue, but the GIFT Nifty on the NSE IX saw a decline of 43.5 points, closing at 20,817. This might result in Dalal Street having a sluggish start on Tuesday.
“Oil prices remained stable on Tuesday amidst uncertainty surrounding OPEC voluntary output cuts and ongoing tensions in the Middle East, causing concerns about supply,” said Varun Aggarwal, founder and managing director of Profit Idea, to ANI. U.S. West Texas Intermediate crude futures increased by 18 cents to USD 73.22 per barrel, while Brent crude futures saw a slight increase of 13 cents to USD 78.16 per barrel.
