Market Surges on Election Trends: Investors Gain ₹5.4 Lakh Crore as BJP Leads

Early trends for the assembly elections in five states have emerged, indicating significant shifts in Tamil Nadu, Kerala, and West Bengal. While BJP appears to be returning to power with strong momentum in Assam, the most critical results are coming from West Bengal, where early trends show the BJP crossing the majority mark. These trends have triggered a sharp reaction in the stock market, with the Sensex surging by up to 900 points and the Nifty climbing over 250 points. 4 lakh crore in a short span of time.

Market Performance and Key Stock Gainers

The Indian stock market is witnessing a massive surge this Monday, with both Sensex and Nifty gaining approximately 1%. 25 points. 20 during the session. Shares of Hindustan Unilever (HUL) and Maruti Suzuki surged over 4%, becoming the top gainers on the Sensex. They were followed by L&T, Adani Ports, Asian Paints, and M&M, all gaining more than 2%. Conversely, Kotak Mahindra Bank shares recorded a decline of nearly 3%.

Election Trends and Sectoral Impact

As vote counting continues across four states and one union territory, markets are closely monitoring the fierce contest in West Bengal between the TMC and BJP, while by 10:45 AM, BJP had crossed the 160-seat mark in trends, surpassing the majority figure, while TMC was leading in 120 seats. In Tamil Nadu, Thalapathy Vijay's TVK is leading in over 100 seats, and in Kerala, the Congress alliance is Notably ahead. Governments in Assam and Puducherry appear likely to repeat. 5%. On the NSE, 2,246 shares advanced, 690 declined, and 87 remained unchanged.

Global Factors and Crude Oil Prices

US President Donald Trump has unveiled 'Project Freedom' to release ships stranded in the Strait of Hormuz, easing supply concerns. Brent crude futures dropped to $108 per barrel, while US WTI futures slipped to $101 per barrel. Macquarie expects crude prices to remain in the $85-90 range in the near term, though it warned prices could hit $150 if disruptions persist until April. Global markets also traded in the green; South Korea's Kospi rose nearly 5%, Hong Kong's Hang Seng gained 2%, and the Taiwan Weighted surged over 4%. 5%.

Experts suggest that these are early trends and the market may react further after 12 PM when a clearer picture emerges for West Bengal. If BJP maintains its lead, Sensex and Nifty could see an additional 2% to 3% gain. VK Vijayakumar, Chief Investment Strategist at Geojit Financial Services, noted that while state election results are driving market movement, the impact might be short-lived. The market rally was broad-based, with Nifty Smallcap 100 and Nifty Midcap 100 indices also gaining over 1%.