Investors’ wealth plunged by Rs 5.78 lakh crore in two days of market collapse

new Delhi:

Investor wealth eroded over Rs 5.78 lakh crore in two days of market slide amid a weak trend in global markets after several central banks hiked interest rates and made aggressive remarks.

The 30-share BSE Sensex today closed at 61,337.81, down 461.22 points or 0.75 per cent. In previous trade, the BSE benchmark had settled 878.88 points, or 1.40 per cent, lower at 61,799.03.

The benchmark has declined 1,340.1 points or 2.13 per cent in two days.

Amid a weak trend in equities, the market capitalization of BSE-listed firms declined by Rs 5,78,648.39 crore to Rs 2,85,46,359.06 crore in two days.

“Global markets rallied as the European Central Bank (ECB) and Bank of England (BoE) followed the Fed in raising policy rates by half a percentage point while maintaining a tough tone on inflation. In combating inflation, There has been a reduction in central banks’ aggression, raising concerns about the health of the global economy, said Vinod Nair, head of research at Geojit Financial Services.

In the broader market on Friday, the BSE Midcap gauge declined by 1.44 per cent and the Smallcap index by 0.96 per cent.

All sectoral indices fell, with realty down 1.57 per cent, followed by consumer discretionary (1.36 per cent), industrials (1.32 per cent), capital goods (1.26 per cent), tech (1.25 per cent), IT (1.24 per cent) . ) and auto (1.13 per cent).

Dr Reddy’s emerged as the biggest laggard in the Sensex pack, shedding 3.62 per cent, followed by M&M, Asian Paints, TCS, SBI and Titan.

HDFC Bank, HUL, Nestle and Tata Steel closed with gains.

Mohit Nigam, Fund Manager and Head, Hem Securities, said Indian stocks opened lower on Friday, tracking losses across sectors due to recession fears in the US and commentary by major central banks following their US counterparts.

A total of 2,213 firms declined, while 1,344 advanced and 105 remained unchanged.

Retail chief Deepak Jasani said, “Nifty closed for the second consecutive session on weak global cues. Global markets were largely down as investors worried that central banks’ resolve to continue their fight against inflation could push the economy into recession.” May go.” said research by HDFC Securities.

(Except for the headline, this story has not been edited by NDTV staff and is published from a syndicated feed.)