Shares of public sector companies involved in infrastructure development fell sharply – ..

Mumbai: The surge witnessed in PSUs in the stock market on Monday after the exit polls were announced was completely washed away on the results day with shares of most PSUs witnessing a sharp fall.
Every Nifty PSE stock closed with a decline today. Nifty PSE stocks saw a decline of 11 to 25 percent.
Let us tell you here that during the last five years of rule, the Modi government paid special attention to the development of infrastructure in the country, which mainly includes road construction, ports, railways.
There were also reports of Narendra Modi advising investors to invest in public sector shares. If BJP is not able to form the government on its own, then the work of infrastructure development may slow down, due to which there will be a huge sell-off in the shares of government companies.
An analyst said if the weakness in public sector company stocks continues, it will not be long before it becomes challenging for the new government to raise funds through its disinvestment programme.
Shares of public sector undertakings rose sharply on Monday as investors hoped for political stability and policy consistency in the country after exit polls predicted a massive victory for the BJP-led government.
Among public sector undertakings, BHEL, REC, PFC and Bharat Electronics all declined by 15 per cent at one point and were forced to suspend operations for some time.
If the NDA government came to power with a huge majority, a big surge in public sector stocks was expected.