“Indian Markets Set to Rally at Open After Exit Polls Predict Modi Victory”
Indian markets are poised for a strong start on Monday as exit polls indicate a resounding victory for Prime Minister Narendra Modi in the general elections. The Gift Nifty is trading significantly higher, pointing towards a gap-up opening for the benchmark Nifty. Here are some key cues to watch out for before the market opens today.
The US stock market closed higher on Friday, with the Dow registering its biggest daily percentage gain since November 2023. The S&P 500 and Nasdaq also ended in positive territory, with the S&P 500 rallying about 4.8% for the month.
Asian markets traded higher on Monday following a rally on Wall Street and ahead of key economic data in the region. Most pollsters predict a strong showing for the BJP-led alliance in the upcoming election, with the vote counting scheduled for Tuesday.
In India, the stock market ended with minor gains on Friday, breaking a five-day losing streak. The Sensex and Nifty closed higher, and Gift Nifty is indicating a gap-up opening for the markets.
India’s economic growth exceeded expectations, with GDP growing at 7.8% annually in the fourth quarter of FY24. Gold prices steadied on Monday, and the Indian rupee is expected to rally at the open after exit polls predicted a third term for Prime Minister Modi.
Foreign institutional investors turned net buyers on the final day of the month, buying Indian equities worth ₹1,613.24 crore. Domestic institutional investors also bought equities worth ₹2,114.17 crore on May 31.
Overall, the Indian markets are set for a positive start on Monday, driven by the optimism surrounding the election results and strong economic indicators. Investors will be closely watching the outcome of the elections and any developments in the global markets for further cues.
