Impact of Political Factors that affect Stock Market in India

Political Events 

Political events, especially elections, significantly influence Indian stock markets.

Pre-election periods sometimes witness market volatility based on expectations from the government.

Political Agendas

Political party agendas impact stock prices.

Clear development plans boost market optimism, while vague strategies can cause market to decline.

Party Actions & Economic Effects

Actions taken by specific political parties can directly affect economic indicators.

Different policies & bill announcements can affect the share market.

Geopolitical Relations

India's relationships with other countries influence market sentiments.

Tensions or collaborations with global powers impact trade, currency rates and investor confidence  which subsequently affecting the stock market performance.

Government Stability & Policy Continuity

The stability of the government and the continuity of policies play a crucial role in market stability.

Sudden changes in leadership or policy shifts often lead to market uncertainty and investor apprehension.

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