Karnataka poll result surprised markets; limited upside from here: U R Bhat

A BJP victory in Karnataka opens the door for early general election; markets not factoring that in yet

It is a good performance by the Bharatiya Janata Party (BJP) in the Karnataka Assembly polls and this is being reflected well in the enthusiasm shown by the markets. The upbeat performance at the bourses was warranted, given the surprising outcome.

However, this is as far as the markets will go in the short term. They were already factoring in a good performance – though not exactly a majority – ahead of the poll result. The performance has actually been better than expected.

Going ahead, the markets will now look at domestic and global cues for direction. There are a