The Indian market has lost more than $300 billion of its value since touching a record high capitalisation of $1.72 trillion in March 2015.
The Indian market has lost more than $300 billion of its value since touching a record high capitalisation of $1.72 trillion in March 2015. This fall is second only to the contraction the market capitalisation of China has experienced during the period. China lost $382 billion of market value in the last six months, although since its peak in June this year, its market capitalisation has more than halved to $5 trillion.
With this slide, the Indian market has fallen back to its position of being the 10th biggest equity market exactly a year after toppling the likes Australia and Switzerland to the ninth spot. India now boasts of a total market value of $1.38 trillion, after losing 14.4% from the market value peak of March 2015.
Interestingly, the top 10 bluechip companies from the Nifty space, which lost anywhere between 8% and 58% in the last six months, collectively accounted for $72.5 billion worth of erosion in the market value. These include stocks like ONGC, Tata Motors, TCS, Vedanta, NTPC and Coal India. Even banking and financial services players SBI, ICICI Bank, Axis Bank and HDFC contributed to the aggregate market decline which equaled about a fifth of the value erosion experienced by the Indian equities since March 3, 2015. The fall in market cap of Indian companies accounts for 4.9% of the world market cap, which came off by $ 6.84 trillion during the same period. India now comprises 2.3% of the market cap of global listed equities compared with 2.5% at the beginning of March 2015.