Close [X]

Market cap of BSE-listed firms hit new high of Rs 111 lakh crore


BSE-listed firms' market cap hit new high of Rs 111 lakh crore

  A strong rally in equity markets have seen the total market capitalization of BSE-listed companies touch a new high of Rs 110.71 lakh crore on Tuesday.

Investor wealth of BSE-listed firms, measured by market capitalisation (m-cap), had seen a previous record high of Rs 109.77 lakh crore scaled on August 24, and it was Rs 109.71 lakh crore on August 5, the BSE data shows.

Benchmark stock indices surged in late trades to end at fresh 52-week closing highs, amid firm European cues, led by banks while IT majors witnessed renewed buying interest amid attractive valuations. Sentiments got a boost with the latest statement from the Reserve Bank of India (RBI), sharing optimism over the growth prospect in this fiscal.

The Reserve Bank of India (RBI) believes that consumption demand led by a good monsoon, government wage increases as a result of award of Seventh Pay Commission, and overall economic pickup should help the economy to register gross domestic product (GDP) growth of 7.6% in 2016-17, up from 7.2% last year.

The S&P BSE Sensex ended up 440 points at 28,343 and the Nifty50 surged 137 points to settle at 8,744. In the broader market, the BSE Midcap and Smallcap indices ended up nearly 1% each. Further, BSE500 touched a fresh lifetime high of 11,795 and the Nifty Midcap index also ended at a record closing high.

Since March, post Union Budget, investor wealth increased by 29% or Rs 24.88 lakh crore from Rs 85.83 lakh crore.

During the same period, the benchmark S&P BSE Sensex gained 23%, as compared to 38% surge in the S&P BSE Midcap and 32% rally in the S&P BSE Smallcap index. The S&P BSE 500 index was up 28% during the period.

In absolute terms, nine stocks -Tata Consultancy Services (TCS), HDFC Bank, Housing Development Finance Corporation (HDFC), State Bank of India (SBI), ITC, Tata Motors, Axis Bank, Maruti Suzuki India and Indian Oil Corporation have contributed more than Rs 50,000 crore each in m-cap increase.