>> Wednesday, October 22, 2008
The investors' loss in the ongoing stock market meltdown has crossed the one-trillion dollar mark, a figure associated with the size of entire Indian economy and the equity market till a few months ago.
At the end of today's trading when the benchmark Sensex dropped by over 500 points, the investor wealth measured in terms of cumulative market capitalisation of all listed firms dropped to Rs 32,20,682 crore (about 650 billion dollars).
This represents a fall of over 1.1 trillion dollars from a life-time high of close to 1.8 trillion dollars (Rs 72 trillion) on January 10 the day when Sensex scaled its life time high before embarking on a downslide.
The figure is even bigger than the estimated size of Indian economy of just about one trillion dollars. India's GDP is estimated at Rs 46,93,602 crore for the latest fiscal 2007-08, which translates into about 950 billion dollars at the current foreign exchange rate.
Indian stock markets had moved out of the trillion-dollar club this July, nearly a year after joining this league.
The Sensex has more than halved from its record high of 21,206.77 points to 10,169.90 points. It even slipped below the 10,000-point mark late last week when it dropped to 9,911.32 points on October 17, its lowest in over two years.
At the end of previous year, the total market cap of all the listed companies in India stood at Rs 71,69,985 crore.
In rupee terms, the loss in the ongoing about 10-month meltdown stands at about Rs 40 trillion.
Besides, the fall in market valuation, the sharp plunge in rupee against the US currency has also contributed to the sharper fall in the Indian market's dollar valuation.
Early this year, when the market was at its peak, the rupee value stood at about 39.25 to a dollar, but it has now fallen to near 49.32 level.
Source: - Digital FCReceive free SMS from us. Click here.
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