India VIX, the volatility index, further eased during Wednesday's session to 19.45, indicating less volatility in the near term.
The domestic stock market indices, Sensex and Nifty, which opened on Wednesday, May 5, over 1% higher, continued their advances in the morning session, one day after the Lok Sabha elections were announced.
At 11:30 am, the Sensex increased by 2.46 percent, or 1,772.04 points, to 73,851.09. At the opening, the index was up 1.32 percent, or 73,027.88, over the previous finish of 72,079.05.
After beginning with a gap up of 243.85 points, or 1.11 percent, the wider Nifty also surged 2.56%, or 560.5 points, to an intraday high of 22,445.
The Nifty 50 plummeted 1,379.4 points, or 5.93 percent, to settle at 21,884.5 on Wednesday, while the Sensex lost 4,389.73 points, or 5.74 points, to conclude at 72,079.05.
With the Sensex moving 1,971 points and the Nifty 653 points, the market was very volatile. The volatility index, or India VIX, fell to 19.45 on Tuesday, indicating reduced volatility in the immediate future. On Tuesday, it had surged 51% to 31.71 during intraday transactions and closed at 26.75.
Together with coalition allies, the National Democratic Alliance (NDA) will form the Modi 3.0 government. The market will probably become more confident in the stability of both the policies and the politics as a result. Therefore, a positive rebound is anticipated going forward, according to a research from Axis Securities.
Following their Tuesday declines of 16.38% and 15.048%, respectively, Nifty PSE and Nifty CPSE recovered, closing down 0.678% and 0.558%, respectively.
Following their Tuesday declines of 16.38% and 15.048%, respectively, Nifty PSE and Nifty CPSE recovered, closing down 0.678% and 0.558%, respectively.
The NSE firms that gained the most included Tata Consumer Products (6.30 per cent), Hindustan Unilever (6.06 per cent), Hero MotoCorp (6.46 per cent), Mahindra & Mahindra (6.01 per cent) and Asian Paints (4.71 per cent).