Amidst the uncertainty stemming from the surprising election outcome, investors found solace in FMCG (Fast Moving Consumer Goods) stocks on June 5. With indications suggesting that the incumbent government may not secure the anticipated victory, leading to the possibility of a coalition government formation, investors sought refuge in defensive sectors.
The Nifty FMCG index witnessed a significant surge of nearly 6 percent, building upon the momentum from previous sessions. Key players such as Emami, Hindustan Unilever, Dabur, and Tata Consumer Products emerged as top gainers, recording around a 10 percent increase in early trading.
Other notable gainers in the FMCG segment included Bikaji Foods International, Colgate Palmolive, Marico, Britannia, and Godrej Consumer Products, each registering gains of up to 7 percent.
This flight to FMCG stocks reflects investors’ preference for stability and reliability amidst the current political uncertainty, as they navigate through the implications of the unexpected election results.
