Assembly elections in West Bengal, Assam, Tamil Nadu, Kerala and Puducherry concluded in April 2026 and attention has now shifted to the results. The Election Commission of India will announce the results on Monday, May 4, 2026.
A comparison of market responses to the West Bengal Assembly elections highlights contrasting political and financial expectations across two election cycles, reflecting shifts in sentiment, policy outlook, and investor positioning.
Market reaction on result day
In 2021, the Sensex fell sharply following the election outcome, although it recovered partially by the close of the trading session. For 2026, market movement is yet to be observed.
PSU stocks
In 2021, public sector undertaking (PSU) stocks declined by around 2–3% on the result day. In contrast, for 2026, analysts expect sectoral volatility depending on the final outcome.
Key market sentiment driver
The 2021 result was viewed by markets as a potential setback for reform momentum. In 2026, a possible BJP victory is being interpreted by analysts as a potential trigger for policy shifts.
Recovery timeline
In 2021, markets stabilised within the same trading session. For 2026, experts anticipate short-term volatility before clearer market direction emerges.
Exit polls vs actual results in 2021
In West Bengal’s 2021 Assembly elections, exit polls significantly underestimated the Trinamool Congress’s dominance. While poll averages projected TMC at 155 seats and BJP at 126, the actual results saw TMC surge to 216, with BJP at 77 and Congress reduced to just 1 seat.
(Disclaimer: The above article is meant for informational purposes only, and should not be considered as any investment advice. ET NOW DIGITAL suggests its readers/audience to consult their financial advisors before making any money related decisions.)
