PSU stocks back to hightrail, surges 13 percent, what to expect now
The PSU index had hit a record high of 23,019 on August 1, 2024.
PSU stocks back to hightrail, surges 13 percent, what to expect now
The Shares of public sector undertaking (PSU) companies including banks have rallied by up to 13 percent on the BSE in Monday’s intra-day trade after the staggering victory of the ruling NDA alliance in Maharashtra. At 10:20 AM, the BSE PSU index, the top gainer among sectoral indices, was up 3.5 per cent at 19,856, as compared to the 1.5 per cent rise in the BSE Sensex. The PSU index had hit a record high of 23,019 on August 1, 2024.
The staggering victory of the ruling NDA alliance in Maharashtra will bring the undercurrents back in the markets, in our view, MOFSL said. Markets have seen a decent correction in the last two months on the back of moderate corporate earnings in H1FY25, relentless foreign institutional investors (FII) selling since October 2024 (approximately $14 billion), a fragile geopolitical backdrop, and a strengthening dollar index after the victory of Donald Trump in the US elections. The anxiety around Maharashtra elections had further muddied the waters, the brokerage firm said.
Read Also : IndianOil Wins Big at FICCI Indian Sports Awards 2024 for Championing Sports DevelopmentRITES, Indian Bank, Bharat Dynamics (BDL), Central Bank of India, NBCC (India), UCO Bank, Punjab & Sind Bank, Rail Vikas Nigam (RVNL), Housing & Urban Development Corporation (HUDCO), Indian Overseas Bank, Bharat Electronics, Oil and Natural Gas Corporation (ONGC) and Bharat Petroleum Corporation (BPCL) have rallied between 5 percent and 13 percent on the BSE in today's intraday trade so far.
Read Also : NTPC Talcher Kaniha Shines with Prestigious Platinum AwardWith elections on pace and crude oil prices in focus, it is expected that the government will now focus on spending (H1FY25 government spending is flat year-on-year (YoY) and is down 17 percent for Capex spending).
The poll results shown along with the recovery in rural spending (on the back of a good monsoon and expected strong Kharif output) should improve the demand narrative at the margin.
Read Also : WIPS WCL receives Best Activity AwardNews Must Read
- IndianOil Wins Big at FICCI Indian Sports Awards 2024 for Championing Sports Development
- Cochin Shipyard Limited signs contract with Defence Ministry
- ONGC launched 35-seater Electric buses in Mumbai
- BSNL tie up with SBI for Payment Gateway Partnership
- ONGC Videsh acquires 0.615% Stake in ACG and 0.737% stake in BTC, Azerbaijan
- Numaligarh Refinery Limited achieved milestone
- GAIL signs long-term contract with “K” LINE for LNG ship
- RVNL stands as Lowest bidder from PSPCL
- NTPC CVO Rashmita Jha Appointed as Additional CVO for REC Ltd
- SAIL and John Cockerill India join hands to drive innovation and green steel technologies