Narendra Modi, India’s prime minister, center, during a campaign rally in Agra, Uttar Pradesh, India, Thursday, April 25, 2024. Modi doubled down on his attack on the main opposition party by using language critics say is spreading division between the country. Hindu majority and Muslim minority. Photographer: Prakash Singh/Bloomberg via Getty Images
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India’s stock gauges hit record highs on Monday, with the Nifty 50 index and the S&P BSE Sensex Total Return index rising more than 3%.
Both indices hit record highs and posted their best intraday gains since February 1, 2021, according to LGEG data.
Local polls at the weekend predicted Prime Minister Narendra Modi and his Bharatiya Janata Party-led alliance are set for a rare third consecutive term.
The BJP-led National Democratic Alliance is expected to win about 365 of the 543 seats in India’s lower house of parliament, according to a summary of polls by local news channel NDTV. However, the final result, expected on Tuesday, could differ from poll projections.
Good 50 hits intraday record high
With the incoming government giving high priority to India’s infrastructure development, Adani Group company shares also rose on the back of the poll results.
Adani Port surging by more than 10% and Adani Company an increase of 7%. Ambuja Cements, one of India’s leading cement companies, also gained nearly 6%.
“We’re going to see infrastructure continue to be built in housing, transportation and on the digital side,” Malcolm Dorson, senior portfolio manager and head of emerging market strategy at Global X ETFs, told CNBC.
Shares for State Bank of India climbed by almost 10%, while ICICI Bank and HDFC Bank gained more than 2%.
