Skip to main content

BJP FRONT RUNNER IN LOK SABHA POLLS



Two foreign brokerages today indicated that BJP's victory in the Assembly polls makes it the "front runner" in the May general elections but said that it is too early to conclude given the past record of varying swings between state and national poll outcomes. "These results will place BJP as the front-runner in the May general elections," Bank of America Merill Lynch said in a note today. Japanese brokerage Nomura said: "The results indicate a rising wave in favour of the BJP as well as an anti-Congress vote in these states." Propped by the electoral outcomes yesterday, both the Sensex and Nifty closed at record highs today. While the Sensex surged to a new lifetime high on all-round buying at 21,326.42 with a gain of 329.89 points or 1.57 per cent, the broader Nifty rallied to its life-time peak of 6,363.90 points, a hefty rise of 104.00 points or 1.66 per cent jump. This helped investor wealth soar by about Rs 75,000 crore. The rally was led by sustained capital inflows. In morning trade, the benchmark BSE barometer soared to historic high of 21,483.74 points, while the Nifty also scaled a new intra-day record high of 6,415.25, surpassing its previous intra-day high of 6,357.10 registered on January 8, 2008. However, both BofA-ML and Nomura said even though the Assembly poll outcomes increase the market's expectations, such hopes may be tempered as these states constitute only 13 per cent of the seats in the Lok Sabha and moreover, many a time the results of state elections and the general elections have been divergently opposite. "Doing well in these states is not enough to indicate the direction of the 2014 elections; it only indicates a direction where these 13 per cent seats could go. In 2003, the BJP had won three of these four states but lost the 2004 elections," the BoFA-ML note said. In results of the four states, which came out yesterday, BJP held on to MP and Chhattisgrah, trounced Congress in Rajasthan and emerged as the single largest party in the national capital, where Aam Aadmi Party secured 28 seats in its debut. On the success of the AAP, BofA-ML said: "The success of the recently formed Aam Aadmi Party in Delhi has again reinforced the split nature of politics where the non-Congress, non-BJP regional parties are getting powerful. "This is a reminder that we will still see a coalition government in 2014 where regional parties will be crucial."

Comments

Post a Comment

Popular posts from this blog

WORLD'S OLDEST WOMAN

Misao Okawa celebrates her 115th birthday in Osaka, western Japan on March 5, 2013. Okawa was formally recognized as the world's oldest woman.
Post a Comment
Read more

SINGER MANNA DEY IS NO MORE

Legendary playback singer Manna Dey, who mesmerised generations of listeners with his inimitable voice for over five decades with hits like 'ay mere pyara watan', 'laaga chunri me daag' and 'poocho na kaise', died at a hospital here today at the age of 94 after prolonged illness. Dey, who was in and out of Narayana Hrudayalaya Hospital in the last five months for respiratory and renal problems, died of cardiac arrest with his daughter Shumita Deb and son-in-law Jnanranjan Deb by his bedside when the end came at 3.50 AM. The condition of Dey, who had made Bangalore his home for the last many years, deteriorated since yesterday afternoon, hospital spokesman Vasuki said. With the demise of Dey, the void has become complete in the famous quartet of singers Rafi, Mukesh, and Kishore Kumar, who dominated the Hindi music industry from 1950s to 1970s. The mortal remains of Dey, whose unique voice lent a rare dimension to his persona, were cremate...
Post a Comment
Read more

WILL NIFTY FALL BELOW 2000?

Correlating the ups and down in the Indian rupee with the stock market, Vijay Bhambwani, CEO, bsplindia.com, suggests that if the rupee continues with its downward fall, the Indian stock market may fall breach October lows and fall further. “If the rupee falls below the 53.0-53.50 mark vis-a-vis the USD, expect a mini meltdown atleast in the equity markets. In that case, the 2250 level (on Nifty) will be breached easily to form a new low. The possibility of that low being below the 2000 levels on the Nifty spot is fairly high,” he says. Bhambwani supports his outlook by comparing the value of rupee at the time of October lows. “The October 2008 lows were made with the INR at 51.20 - 51.40 band. The rupee has breached the 52 level since then. Clearly the nation’s ‘share price’ (currency) indicates weakness. The curency market is a far more accurate barometer of the nation’s health compared to the equity indices. Whether you like it or not, we are under siege. Had it not been March (NAV ...
Post a Comment
Read more