what spectacular reforms is the BJP govt bringing that the market reacts so positively towards it? Take Karnataka elections for example, market was reacting positively during the early hours when BJP was leading and finally tanked when Congress/JDS was leading on election day.
IMO, It does not really matter who rules OR It does not even matter If the Returns on Securities are TAXED or NOT TAXED, as long as the fund managers wants to generate returns more than the available bank rates, the markets will always keep going up.
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Becoz Modi is friend of Ambanis and Adanis and big money men
Big money men run the market and earn big from market
So maybe thats why
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its not abouut congress or BJP…its about uncertainity…uncertainity is something that market doesn’t like…A change in regime or coalition govt means that the current reforms, works which govt is undertaking might be stopped or changed…market usually wants stable political environment and it does not matter which political party brings that…remember nifty made upper upper circuit when MMS won 2nd seesion in 2009
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market wants same govt in centre as well as in states.
@chiragjp has got it right.
Market only expects stability from govts all over the world. The moment they sense uncertainty , market stay flat or fall.
So come 2019 , we are going to see lot of volatility.
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