Bull run on mkts may continue on new govt formation: experts
Markets are expected to rise further in the coming weeks as investor sentiment is likely to get a boost after the formation of a new government today at the Centre under Manmohan Singh.india Updated: May 22, 2009 20:41 IST
Markets are expected to rise further in the coming weeks as investor sentiment is likely to get a boost after the formation of a new government today at the Centre under Manmohan Singh.
"The swearing-in will bring in some stability in Dalal Street, as the markets are in a positive mode," SMC Global Vice-President Rajesh Jain said, adding, "there would not be any outright surge but positive sentiment would prevail."
Marketmen said expiry of futures and options contract on May 28, would bring in some short covering in the market.
"Cabinet portfolio allocation on Tuesday will bring in euphoria but as the market has gone up quite a lot, the surge would not be massive," Jain added.
Ashika Stock Brokers Research Head Paras Bothra said, "the markets have already discounted the news... However, if any surprises comes along with the portfolio allocation on Tuesday, markets may react".
No major moves are expected at the frontline stocks. markets are likely to remain positive next week if the global cues remain supportive, Bothra added.
Manmohan Singh was today sworn-in as Prime Minister for a second consecutive term at the head of a 20-member team in the first installment of government formation truncated by the deadlock over portfolios for DMK members.