Indian equities, rupee and bonds are set to rally on Monday after almost all exit polls suggested that the Prime Minister Narendra Modi-led National Democratic Alliance (NDA) was likely to secure a clear mandate at the 2019 national elections.
MUMBAI/BENGALURU (Reuters) – Indian equities, rupee and bonds are set to rally on Monday after almost all exit polls suggested that the Prime Minister Narendra Modi-led National Democratic Alliance (NDA) was likely to secure a clear mandate at the 2019 national elections.
“The market was working with the assumption that the NDA would need to ally with other parties to form the government. To the extent the exit polls are predicting an outright victory for the NDA, we could see a 5-10% equity market rally in the coming weeks,” said Saurabh Mukherjea, founder of Marcellus Investment Managers.
Votes are set to be counted on May 23 and exit polls suggest a better showing for the NDA than what was expected in recent weeks.
The NDA is projected to win 287 seats in the 545-member lower house of parliament followed by 128 for the Congress party-led opposition alliance, the C-Voter exit poll showed.
