Modi's UP win to help Nifty touch all-time high

However, Nifty could face headwinds in sustaining gains

The stunning victory of the Bharatiya Janata Party (BJP), under the leadership of Prime Minister Narendra Modi, in the Uttar Pradesh (UP) — the most populous state, key for central politics — Assembly elections is likely to be cheered by the markets, when these resume trading on Tuesday.

Market players expect the benchmark indices to rally more than two per cent on Tuesday, as the strong showing in state elections is expected to spur the Modi government at the Centre in expediting reform and boost infrastructure spending.

The huge mandate in UP and neighbouring Uttarakhand will boost the sentiment of