Impact of Gujarat Election Result on Sensex Stocks


  • Mr. Sharath Prabhu


 The 14th Gujarat Legislative Assembly election, 2017 was held on 9 December 2017 and 14 December 2017. The counting of votes took place on 18 December. The election was won by the incumbent Bharatiya Janata Party with a reduced majority, following losses to the opposition Indian National Congress.The stock market is sensitive. It discounts every inside and outside information. Hence it started reacting to the results of the Gujarat election results. The behaviour of the stockmarket during the election result has motivated the researchers toundertake research to test whether the reaction or impact is significant or not. We have studied the behaviour of Sensex stocks as they are representative of the entire stock market in India. It was found in the study that there is no significant impact on the behaviour of stock prices due to the results of the Gujarat election.