Indian stocks are poised for a positive opening on Monday following the BJP-led alliance's notable triumph in the Maharashtra state assembly elections. This victory has fueled optimism for increased governmental expenditures aimed at enhancing domestic demand.
However, experts advise a prudent investment strategy, considering the ongoing sell-off by foreign institutional investors, escalating geopolitical tensions, and lingering uncertainties surrounding President-elect Trump's proposed tariff and trade policies in the United States.
Investor sentiment may also receive a boost from favorable signals from Wall Street, Europe, and Asia, while attention remains on oil price fluctuations due to their potential negative consequences on the nation's fiscal and current account deficits.
This morning, oil prices remained close to their two-week highs, having surged approximately 6 percent last week. This rise is attributed to increased tensions between Western nations and major oil producers, Russia and Iran, heightening fears of supply disruptions.
