How would the market react in case of early elections? Experts speak

[suguhopes]

Raamdeo Agrawal, Joint MD, Motilal Oswal Securities
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Early polls are highly unlikely as the new coalition is well aware
that times are not conducive for elections. The latest political
developments have already been discounted in the market.

Inflation and oil play a much larger role compared to politics. But,
if the government somehow fails the confidence vote, then we would be
in for a huge shock.


Narayan S A, MD, Kotak Securities
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With this new understanding (between the Congress and the SP) I don’t
expect early polls.

The market has factored in the political developments. From hereon,
the market will be driven more by global cues and macro triggers.


Devesh Kumar, MD, Centrum Stock Broking
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The Left has pulled out, but only after the Congress managed to rope
in a new partner. So the probability of the government falling and
early elections is very dim.

That, in turn, is actually positive for the market. As such, no other
party except BJP wants early polls. One shouldn’t expect the market to
react in any manner to the current political development


Rashesh Shah, CEO, Edelweiss Capital
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I don’t think that the government will collapse. And so there is no
possibility of early elections.

If in case the government falls, the market would react sharply.


Ajay Bagga, CEO, Lotus India AMC
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No, there will not be early polls this time round; Congress will find
like-minded parties to complete the term.

With raging inflation and a probable slowdown in growth against the
backdrop, the Congress will not be in a mood to declare early
elections.

I don’t expect the market to react in any manner to the current
political development.


N.Sukumar
Research Analyst