D-Street investors lost Rs 18.43 lakh crore poorer in 5 days of market crash
Equity investors were poorer by Rs 18.43 lakh crore in the five-day market crash as the BSE benchmark Sensex gained 4,091 points, amid unabated foreign capital outflows and weak global conditions.
In the last five days, the BSE benchmark gained 4,091.53 points, or 4.98 percent.
Market capitalization of BSE-listed companies fell by Rs 18,43,121.27 crore to Rs 4,40,99,217.32 crore (USD 5.18 trillion) in the last five days.
On Friday, the 30-share BSE benchmark fell 1,176.46 points, or 1.49 percent, to settle at 78,041.59. During the day, it fell 1,343.46 points, or 1.69 percent to 77,874.59.
“The panic continued to grip investors and stocks across the board went into a tailspin as the continued strength of the dollar against the rupee has been encouraging foreign investors to flee local stocks and take refuge in safe-haven dollar assets,” said Prashanth Tapse, Senior VP (Research), Mehta Equities. Ltd.
Out of the 30 blue-chip Sensex pack, Tech Mahindra, Mahindra & Mahindra, IndusInd Bank, Axis Bank, Tata Motors, State Bank of India, Tata Consultancy Services, Larsen & Toubro, UltraTech Cement and Reliance Industries were the biggest companies.
In contrast, Nestle and Titan are the beneficiaries.
“Disappointment about a slower-than-expected rate cut by the US Fed has negatively impacted global market sentiment. This bearish outlook is particularly impacting the domestic market, which is already experiencing high inflation and low wage growth. The sell-off has had a major impact on the domestic market, which is already experiencing high inflation. and low income growth, with large declines in mid-cap and small-cap stocks,” said Vinod Nair, Head of Research, Geojit Financial Services, said.
In the Asian markets, Seoul, Tokyo, Shanghai and Hong Kong remained at the bottom.
Equity markets in Europe were trading in negative territory. Wall Street ended on a mixed note on Thursday.
Foreign institutional investors (FIIs) sold shares worth Rs 4,224.92 crore on Thursday, according to exchange data.
The BSE midcap gauge fell by 2.43 percent and the smallcap index fell by 2.11 percent.
All BSE industry indices ended lower. Realty fell 4.07 percent, energy down 3.55 percent, capital goods (3.02 percent), industrials (2.67 percent), BSE-focused IT (2.61 percent), IT (2.51 percent), consumer preferences (2.32 percent) and services (2.29 percent).
As many as 2,950 stocks declined while 1,045 advanced and 90 remained unchanged on the BSE.
