Stock Market Prediction: If the Modi government comes again in the country, these shares can fetch a lot of money, according to experts.
Election result impact on share market: Among the events that have the most impact on the share market, the election result is an important factor. After the election results, the market fluctuates, albeit temporarily. The results of the Lok Sabha elections in the country will be announced on June 4. Stock market experts are also cautious about the results.
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Everyone is making their own guesses. Analysts are predicting both what could happen if the government stays on and what could happen if there is a change of power. Looking at the atmosphere in the stock market in the last few days, it seems that the investors have assumed that BJP's rule will continue. If that turns out to be true and Narendra Modi becomes Prime Minister for the third time, it will be important to see which sectors can give good returns.
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Co-founder of Motilal Oswal says…
Ramdev Agarwal, head and co-founder of domestic brokerage firm Motilal Oswal Financial Services, has expressed a detailed opinion in this regard. Shares of defence, infrastructure, railways and capital goods companies will rise as Narendra Modi returns to power for the third consecutive term. These are the areas where the government is focused and the government has invested money. If Modi comes back to power, he will work more vigorously. There is a strong possibility that the government will continue. Aggarwal said that the government will take major decisions to promote these sectors in the next 5 years.
Narendra Modi's ruling Bharatiya Janata Party is expected to return to power, according to opinion polls. Low voter turnout casts doubt on the margin of victory. It is meaningless to say that Modi will be resoundingly defeated, but if the BJP has to compromise for power, the market will fall sharply. This was the picture two decades ago.
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The market was in turmoil due to Vajpayee's defeat
After the 2004 election results, the national stock market index Nifty fell 17 percent. The NDA led by the ruling BJP was defeated even when it seemed that the power would last. The slogan of India Shining backfired and the Atal Bihari Vajpayee government faced defeat.
Shares of companies in these sectors have increased in the past
During its ten years in office, the BJP has focused on improving India's crumbling infrastructure and boosting domestic manufacturing, including in the defense sector. The government has proposed record infrastructure spending of $133 billion in fiscal year 2025. Shares of top defense, infrastructure and capital goods companies have gained 64 to 480 percent in the past one year. This is higher than the quarterly growth of Nifty 50.
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If you don't get a clear vote…
“If for some reason the current government does not get a clear vote, it will be very troublesome for the market. Any change in the country's capital gains tax system in the post-poll budget could hit the market. A change in capital gains tax cannot be ruled out.
(Disclaimer : The above news is for information purposes only. The opinions of the analysts are their own. This is not any kind of investment advice. Investing in the stock market carries risks. Before taking any investment decision, consult your financial advisor.)
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