Stock markets rise on Karnataka results
15 May 2018
Stocks markets began trading on Tuesday on a firm note as early trends indicated a large lead for the BJP in Karnataka. Key benchmark indices extended gains and hit fresh intraday high in morning trade.
At 11:30 a.m, the 30-share Sensex was at 35,867, up 310.54 points or 0.87 per cent. The market breadth was also strong with nearly 1,500 stocks gaining ground against only 761 declines.
The broader Nifty was also up 89.45 points at 10,896.
The markets had been trading cautiously in the past few days waiting for the Assembly election results.
Incidentally, the market breadth remained weak on most days even as the benchmarks posted marginal gains.
The verdict would be seen as a big sentimental positive for the indices, which were factoring in a severely fractured mandate.
"Market will take cues from this victory and expect a similar result in the General Elections of 2019. Stability in government is what the stock market is seeking," Amar Ambani, partner and research head, IIFL Investment Managers told Business Standared, highlighting the fact that early indications suggest a strong lead for the BJP.