New Delhi: Stock market investors’s wealth declined by Rs 48.5 lakh crore since September 27, 2024, when BSE’s market capitalisation swelled to an all-time high of Rs 478 lakh crore. At current rupee exchange rates, the BSE’s market cap has declined to RS 429.5 lakh crore.
Foreign institutional investors started selling off their holdings in Indian markets after the US presidential polls showed that Donald Trump would return to office. The US dollar strengthened after Trump’s win, accelerating the FII pullout for greener pastures.
FIIs spoil market party post-Diwali
The domestic earnings season has been disappointing in some respects with bellwether companies sharing glum consumption forecasts for the upcoming quarters. Retail inflation also surged to a 14-month high of 6.21 per cent in October, further spooking domestic investors.
Foreign portfolio investors aggressively offloaded stocks worth $14 billion in the period starting from October 1, 2024, until now. To be sure, domestic institutional investors have pumped in Rs 1.3 lakh crore into Indian equities. however, this has not been enough to bridge the shortfall left by the FII exits.
Sensex and Nifty slide
The BSE Sensex has slid 1,981.89 points in the past 5 sessions, equalling a 2.49 per cent decline. In the past month, the Sensex has plunged 4,392.74 points, equalling a 5.36 per cent decline. However, over the longer term, the Sensex has retained its premium, having risen 6.12 per cent in the past 6 months and 18.13 per cent in the past year.
The Nifty slipped 0.11 per cent on Thursday, 2.65 per cent in the past 2 days, and 6.35 per cent in the past month. However, the Nifty 50 was up 5.92 per cent in the past 6 months and 19.60 per cent in the past year.
Gold prices slide
Gold prices declined Rs 700 to Rs 77,050 per 10 gm in Delhi-NCR, according to the All India Sarafa Association. Silver prices were also Rs 2,310 to Rs 90,190 per kg compared to the previous closing price of Rs 92,500 per kg. Gold futures were down Rs 804 or 1.08 per cent to Rs 73,678 per 10 gm.
Stock market investors’ wealth slid by a whopping Rs 48 lakh crore since the Sensex’ highs in September 2024. Here’s why Markets Business News – Personal Finance News, Share Market News, BSE/NSE News, Stock Exchange News Today
