Discover:
-
The impact of Elections 2024 on India’s stock market dynamics.
-
Is it the best time to invest in infrastructure and PSU bank stocks?
-
Explore which sectors and stocks are set to rise post-elections in India.
In an interview with Sanjay Pugalia, the chief editor of NDTV, the Prime Minister of India, Narendra Modi, said that the stock market would have a strong run once the elections results are out. He also said that the government has implemented maximum economic reforms and pro-entrepreneurship policies to strengthen the economy.
Moreover, Indian equities have seen turbulence since the elections began on April 19, amid concerns that the ruling National Democratic Alliance (NDA) would not get the required numbers to implement the far-reaching reforms the markets were expecting.
Furthermore, last week Union Home Minister Amit Shah and External Affairs Minister S Jaishankar said market turbulence caused by election jitters was transitory and that markets would bounce back after the results.
Let’s take an example of Public Sector Undertaking (PSU) banks; their stock market valuation is rising. Moreover, the stocks of Hindustan Aeronautics Ltd are seeing exceptional growth as the stocks have reached a record high on massive profits. Although, benchmark BSE Sensex and NSE Nifty 50 have been volatile recently. The Nifty fell more than 4 per cent to 21,821 from hitting an all-time high of 22, 794 in early May.
Which Stocks to rise after elections/on election day?
Below is a table of sectors whose stocks will be affected by Elections 2024 in India:
Why investing at this time is the best option?
Below are ways in which Elections 2024 presents a strategic investment opportunity:
Government Initiatives
During elections, the government creates policy changes, aiming at stimulating economic growth. Sectors such as infrastructure and PSU banks, are recipients of government initiatives and investments during election periods. Moreover, with the expectation of higher budget allocations to these sectors after elections, investing in them can help you gain profit.
Technical Indicators
Technical analysis of stocks like RVNL, Petronet LNG, and Bank of India show signs of positive momentum. If you take advantage of these technical indicators alongside the election-driven opportunities can enhance investment returns.
Long-Term Outlook
During the elections, the immediate focus is on the short to mid-term gains surrounding the Elections 2024, investing now can also align with long-term wealth-building goals. By investing in sectors poised for growth beyond the election period, people can receive sustained returns over the years.
The Bottom Line
Elections 2024 in India offers a strategic investment window marked by government promises of economic reforms and market reassurances. Sectors like infrastructure and PSU banks show promise, with stocks like RVNL and Bank of India demonstrating positive momentum.
Frequently Asked Questions
What is the best time to sell stocks?
Monday is the best time to buy stocks. Whereas, Thursday or early Friday is the best day to sell stocks.
How many Lok Sabha seats are there in Delhi?
There are 7 Lok Sabha seats in Delhi
What is the bull stock market?
A bull market refers to a financial market scenario where prices are increasing or are anticipated to increase.
