Exit Poll Euphoria Fuels Dalal Street Rally, Investors Reap Rs 11 Lakh Crore Windfall

Indian equity markets experienced a historic surge on Monday, adding Rs 11 lakh crore to Dalal Street investors’ wealth as the Sensex and Nifty hit record highs. The rally was spurred by exit polls predicting a decisive victory for the BJP-led NDA, suggesting a third term for Prime Minister Narendra Modi with a strong mandate.

The BSE Sensex opened at a record high, climbing 2,178 points, or 2.94%, to reach 76,139. Simultaneously, the Nifty50 surged 579 points, or 2.57%, to trade at 23,109 by 9:17 am. By 10:20 am, the Sensex stood at 76,080.15, up 2,118.84 points, while the Nifty50 rose to 23,196.30, gaining 665.60 points. Broader markets also saw impressive gains, driven by a sharp decrease in volatility.

Investor sentiment was bolstered by the anticipation of continued investment in infrastructure and manufacturing under PM Modi’s leadership. Consequently, sectors such as PSU banks, oil and gas, financial services, metals, realty, and auto saw gains between 3-5%, with Nifty Energy, Nifty PSU Bank, and Nifty Realty emerging as top gainers, each rising between 4-5%.

Prashanth Tapse, Senior VP (Research) at Mehta Equities Ltd, commented, “Dalal Street is poised for a strong start to June driven by optimistic exit poll results predicting a significant win for the BJP-led NDA.”