General election Due to this, the stock market is witnessing sharp fluctuations these days. The results of the general elections will be announced on June 4. Will the market see a boom after that? An estimate has been released by MK Investment Managers, according to which the major stock index Nifty-50 can reach the level of 24,500 points by December 2024 with an estimated growth of 15 percent. At the same time, it can reach 26,500 points by December 2025. Nifty closed at 22,888.15 points on Tuesday. A day before this, it was at its all-time high of 23,110.80.
NDA is expected to get majority again
Emkay Investment Managers Ltd, the portfolio management services arm of Emkay Global Financial Services, said at the seminar that the NDA government is expected to return to the Centre once again with at least 330 seats. In such a situation, there will be major reforms related to land, labour and judiciary. This will support the positive sentiment in the Indian markets. Emkay Investment said that in the long term, rate cuts by the US Federal Reserve, geopolitical developments and elections will be monitored. Manish Sonthalia, Chief Investment Officer, Emkay Investment Managers, advised investors to adopt a multi-cap approach with equal investment in large caps and mid caps to take advantage of the Indian stock markets. He said that banking, financial services and insurance (BFSI), public sector undertakings (PSUs), and industrial sectors are expected to perform well.
Strong fundamentals behind the rise in the stock market
The boom in the stock market has come due to strong fundamentals and rising earnings of companies. Expressing this opinion, stock experts said that retail investors can use the buying opportunity to accumulate good shares. Experts say that corporate books are now much cleaner than five years ago and there is scope for capacity expansion. Narendra Solanki, Head of Fundamental Research Investment Services, Anand Rathi Shares and Stock Brokers, said that the recent boom in the Indian market is supported by strong domestic macroeconomic indicators such as GDP growth and manufacturing PMI (Purchasing Managers Index). Even inflation is largely stable. Vinayak Mehta, Founder and Director of asset management company The Infinity Group, said that risk can be reduced by diversifying the portfolio, investing in quality stocks with strong fundamentals and avoiding speculative trading.
Instability is expected to continue till the result
He said that volatility is expected to continue till the last phase of the election on June 1. There is no scope for a big decline in the market before the election results. Tejas Khoday, co-founder and chief executive officer (CEO) of trading platform FYERS, said that retail investors should adopt a long-term view and consider systematic investment plans (SIPs) and diversified portfolios to reduce risks.
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