Business News at 05:30 pm on 4th June, 2024

Let’s begin, The exit polls suggest that the ruling NDA is poised to return with thumping majority. The markets have no doubt given a thumbs up in terms of the broad-based rally seen across indices. Projections indicate that the NDA could secure approximately 370 seats, compared to the 353 seats it won in 2019, based on the average of all exit polls. However, the question remains that what does it mean for the average investor. How does the incumbent government if voted back to power impact the prospects of the investor? Various brokerages have shared their predictions and top sectoral bets. As per Nomura’s report on exit polls, the equity market is expected to react positively if the exit poll results translate into actual results.

Moving to Industry section, with the exit polls indicating BJP’s return to power, India Inc is expecting optimism across sectors. Experts and industry leaders said that while India’s economy is projected to grow at 6.8 per cent in FY25, surpassing other major global economies, all eyes are on the new government that will give further impetus to the current growth momentum and propel the nation towards a $7 trillion economy by 2030. India Inc is also looking forward to policies that enhance local manufacturing capabilities through initiatives like ‘Make in India’ while reducing bureaucratic hurdles and improving ease of business in order to attract more foreign investment. Additionally, the country is also hoping for initiatives that will bolster the new energy landscape.

Over to news on Adani Group Shares, All the group companies surged at the start of trade on Monday following exit polls predicting a substantial majority for the Narendra Modi Government’s third term. Adani Ports and Adani Enterprises, both constituents of the Nifty 50 index, opened up to 10% higher, while other Group constituents saw gains ranging from 3% to 12%. Adani Group stocks have added nearly Rs 3 lakh crore at the start of trade, bringing their overall market capitalization to nearly Rs 20 lakh crore. This approaches the Rs 24 lakh crore market capitalization the group had before the release of the Hindenburg Research report. Specifically, Adani Enterprises rose by 5.2%, Adani Ports by 8.8% and Adani Green Energy by 9.2%

Next from Railways, as exit polls hint at the return of the Modi government for a third term, the spotlight is on the infrastructure sector, particularly railways. Indian Railways is anticipated to remain the Modi-led BJP government’s top focus and the industry players eyeing significant investment opportunities. The railways have seen a massive push towards increasing efficiency. The Indian Railways, often hailed as the lifeline of the nation, has undergone significant modernisation efforts during the previous two terms under PM Narendra Modi’s leadership. With approximately 5.85 billion passengers carried in FY23 alone, the railways have seen a massive push towards increasing efficiency. The introduction of initiatives such as the Vande Bharat, Amrit Bharat, Namo Bharat, Kavach System and more, underscores BJP’s commitment to enhancing rail connectivity.

Latest buzz ahead of the counting of votes, the Election Commission of India has put in place elaborate arrangements. The counting will begin at 8 am on Tuesday and the results are expected to start rolling out by noon. There are various ways a voter can stay updated on the outcome in their respective constituencies. The latest trends and results for Assembly Constituency/Parliamentary Constituency will be available on the official website of the ECI as per the data entered by the Returning Officer in real time. Citizens willing to follow the results on the counting day can do so on the ECI website. Voters can also check out the election results on the Voter Helpline App on mobile phones.

In another major development, at the Shangri-La Dialogue held in Singapore, China‘s Defence Minister issued a stern warning to the Philippines, Taiwan, and even the United States, urging them to “stay within limits.” As China increasingly asserts its dominance from the border to the sea, it is now openly threatening its rival countries. This development signals a likely escalation of tensions in the Indo-Pacific region. The dialogue saw participation from heads of state, defence ministers, and military commanders of countries across the Indo-Pacific. Addressing the conference, Philippines President Ferdinand Marcos Jr. made it clear that if any of its citizens is killed due to any military action by China in the South China Sea, it will be seen as a ‘war’.

Lastly, the Market closed at a record high on Exit Polls clues. The benchmark equity indices ended Monday’s trading session in the positive territory. The NSE Nifty 50 gained 733.20 points or 3.25% to settle at 23,263.90, while the BSE Sensex jumped 2507.47 points or 3.39% to 76,468.78. PSU Banks and Energy stocks outperformed among the other sectoral indices like Realty and Financial Services stocks surged.