Mcap of BSE-listed firms jumps to Rs 355 lakh cr
Global markets rallied after the US Federal Reserve kept its key interest rate unchanged and signalled that they expect to make three quarter-point cuts to their benchmark interest rate next year.
Representative Image
NEW DELHI: The market capitalisation of BSE-listed companies surged to an all-time high of Rs 355 lakh crore on Thursday, with investors becoming richer by Rs 3.83 lakh crore as the benchmark Sensex hit its all-time high level driven by a rally in global equities.
Global markets rallied after the US Federal Reserve kept its key interest rate unchanged and signalled that they expect to make three quarter-point cuts to their benchmark interest rate next year.
The 30-share BSE Sensex jumped 929.60 points or 1.34 per cent to settle at its all-time closing high of 70,514.20 points. During the day, it zoomed 1,018.29 points or 1.46 per cent to hit its record intra-day peak of 70,602.89 points. The market capitalisation (mcap) of BSE-listed firms hit a record high of Rs 3,55,02,238.83 crore ($4.26 trillion). Investors’ wealth climbed by Rs 3,83,006.92 crore from Rs 3,51,19,231.91 crore on Wednesday.
“The US Federal Reserve’s decision to leave rates unchanged lifted the world equity market mood, including India, which saw benchmark indices reach yet another record highs on the back of a frenzied buying support.
“Besides, falling crude oil prices and foreign investors pumping in money into domestic equities has bolstered investors’ sentiment, “ Prashanth Tapse, Senior VP (Research) at Mehta Equities Ltd, said.
With India continuing to post strong growth numbers and hopes of rate cut expected in the middle of next year, optimism in equity markets could continue in the medium term, he added.
Among the Sensex firms, Tech Mahindra, Infosys, Wipro, HCL Technologies, IndusInd Bank, Bajaj Finance, Bajaj Finserv and Mahindra & Mahindra were the major gainers. On the other hand, Power Grid, Nestle, Titan, JSW Steel, Maruti and Tata Motors were among the laggards. In Asian markets, Seoul and Hong Kong settled in the positive territory while Tokyo and Shanghai ended lower. European markets were trading in the green. The US markets ended with significant gains on Wednesday.
The Federal Reserve kept its key interest rate unchanged on Wednesday for a third straight time, a sign that it is likely done with raising rates after having imposed the fastest string of increases in four decades to fight a painfully high inflation.