NEW DELHI: Ruling party BJP’s thumping majority in Gujarat didn’t bring any major cheer in Dalal Street. The benchmark indices- BSE and NSE Nifty- barely managed to end higher today after four straight sessions of losses.Sensex
Few analysts were expecting that a win by the PM Modi-led party in the Gujarat election would hint stability in the investment rich state and signal its strength before heading towards the 2024 general elections, a big positive among stock market investors. BJP, however, lost assembly elections to Congress Party in Himachal Pradesh.
On the back of buying seen across select banking and auto stocks, Sensex rose 160 points to settle at 62,570.68 while the Nifty50 advanced 48.85 points to end at 18,609.35. In the Sensex pack, Axis Bank, IndusInd Bank, L&T, SBI, ICICI Bank and M&M were top gainers while Sun Pharma, Power Grid, TCS and Nestle India closed with maximum losses.
“After touching a record high, the domestic market experienced significant volatility as global markets tumbled due to fear of an economic slowdown and worries over a Fed rate hike. Recession fears weighed on IT and pharma stocks while banks, especially PSBs, continued to support the bourses,” said Vinod Nair, Head of Research at Geojit Financial Services. “This volatility is expected to sustain in the global market as we await the Fed policy decision and US inflation numbers due next week,” he added.