In the previous trading session, all indices including Sensex and Nifty recorded their highest intraday gains after exit polls showed Narendra Modi-led BJP winning over 350 seats and the National Democratic Alliance (NDA) winning between 360-400 seats.
But if the exit polls turn out to be wrong and the Indian Union wins a majority or 295 seats, stock markets betting on a landslide BJP victory could plummet, experts say.
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Strong economic data including 8.2 per cent GDP growth for 2023-24, the 100-day list of measures and the final budget will be key points of focus for the market in the coming weeks, the Financial Express reported.
Axis My India exit polls estimated the BJP at 322-340 seats, up from the 303 it won in the 2019 Lok Sabha elections, and the alliance at 39-61. The Congress was estimated at 60-76 seats, up from 52 in 2019, and the Indian Union at 71-90. A party/alliance needs to win 272 of the 543 Lok Sabha seats to form the central government.
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