1266: Marketbuzz Podcast with Kanishka Sarkar: Gift Nifty indicates gap-up start amid uncertainty after poll results

Welcome to CNBC-TV18’s Marketbuzz Podcast. Here are all the important cues ahead of the market session of June 5

- The Lok sabha election is out and the NDA led Prime Minister Narendra Modi is all set to form the government again for the third straight term. However, the outcome wasn’t exactly how the NDA anticipated and definitely not the way the market anticipated. The market, that factored in at least 290-300 seats for the BJP on a standalone basis, sold off sharply after the incumbent party failed to cross the 272 mark by itself.

- This sentiment led to the biggest single-day drop in four years. BSE-listed companies lost ₹30 lakh crore in market capitalisation. PSUs and Adani Group stocks were the biggest contributors to that drop.

- Brokerage firm Bernstein, meanwhile, expects Indian equities to 'sell down' in the extreme near term after the mandate from the Lok Sabha elections. However, it has left its Nifty target unchanged at 23,500 for the end of the year.

-Stocks to watch: Tata Motors, Wipro, Vodafone Idea

-In terms of the election certain key events are due today like the Cabinet meeting at 11:30 am.
Chandrababu Naidu and Nitish Kumar are expected to be in Delhi today whereas the I.N.D.I.A block is supposed to meet at 6 pm this evening. These political developments are also likely to have an impact on the market.

-In terms of global cues, Asia-Pacific markets were mixed this morning as investors assessed India’s election results. Overnight in the U.S., the Dow Jones Industrial Average rose as Wall Street sought its footing after an uneven start to the month.

-The GIFT Nifty was higher, trading at a premium of more than 140 pts from Nifty Futures Tuesday close, indicating a gap-up start for the Indian market

Tune in to CNBC-TV18 for more cues