India out of trillion-dollar market club
India moves out of the coveted trillion-dollar stock market league as the cumulative worth of all the listed companies in the country fell to $966 billion amid a 500-point fall in the benchmark Sensex.business Updated: Jul 02, 2008 00:38 IST
India on Tuesday moved out of the coveted trillion-dollar stock market league as the cumulative worth of all the listed companies in the country fell to $966 billion amid a 500-point fall in the benchmark Sensex.
The total market capitalisation of all the listed Indian firms had first crossed the one trillion dollar mark more than a year ago on May 28, 2007 and had grown to near $1.9 trillion early this year in January.
However, a sharp plunge since the Sensex peaked at its all-time high of 21,206.77 points on January 10, coupled with a significant depreciation in the Indian currency versus the US dollar, pulled back the total market capitalisation to below one-trillion dollar mark. Prior to Tuesday's 500-point fall, the total market cap of the Indian stock markets stood at about $1.01 trillion.
The rupee was trading at 40.5 levels versus the USD on May 28, 2007, when the Indian stock market capitalisation first breached the trillion-dollar mark. However, it has fallen sharply since then to trade near the 43.44 level on Tuesday.
In rupee terms, the Indian stock market capitalisation stood at over Rs 40,50,000 crore on May 28, 2007, giving it a trillion-dollar value.
At the end of Tuesday's trading, the total market cap of all the listed companies in the country stood at about Rs 41,97,000 crore ($966 billion), down nearly 2,00,000 crore (about $45 billion) from Monday’s level.
The cumulative market capitalisation of the 30 Sensex blue-chips alone today fell by close to Rs 80,000 crore to about $400 billion (Rs 18,05,000 crore).
The Sensex Tuesday fell below the 13,000-point level, registering a fall of over 8,000 points from its all-time peak scaled less than six months ago.