It will be an interesting start of the week for Indian Markets post the exit polls announcement. The Exit polls suggest a comfortable victory for the NDA. Even though the seat tally differs across various pollsters, there is consensus over an NDA victory with seats range seen between 342 to 385 on the lower end and 358 - 415 seats range on the upper end. There will be considerable euphoria in the markets when we open on Monday alongside the tailwind from positive US markets after benign PCE Readings. The buzz on social media if for Nifty to gap up towards the 23100 level. India VIX closed at 24.60 on Friday. The low voter turnout had espoused uncertainty in the markets. The larger public mood has been for the NDA to win with domestic equity inflows during 2024 at over $ 7 bn per month in 2024. However, unlike earlier elections in 2014 and 2019 when we saw positive flows ahead of Elections, this time round FPIs have been net sellers CYTD to the tune of ~ $ 2.80 bn....
The specific focus of the Blog is on Global and Domestic interest rates and currencies market. I look at fundamentals to define my bias and corroborate that with a study of price action to put on high conviction trades. The views and opinions are those of author and author alone. ~ Author: Vaishali Bagchi