Investors’ wealth jumps over Rs 7.7 trn as Sensex snaps 7-day losing streak

Investors’ wealth on Friday jumped over Rs 7.72 lakh crore as the broader market clawed back some of its lost ground, a day after Russia’s attack on Ukraine roiled investor sentiments.

On Friday, benchmark indices Sensex and Nifty rebounded up to 2.5 per cent, in line with higher global markets, as the US and allies put up a united front to punish Russia with harsher sanctions over the Ukraine conflict.

Helped by the robust gains in equities, the market capitalisation of BSE-listed companies soared by Rs 7,72,873.6 crore to reach Rs 2,49,97,053.39 crore.

The market capitalisation, an indicator of notional wealth of investors, stood at Rs 2,42,24,179.79 crore on Thursday.

All 19 sectoral indices bounced back on Friday, with realty, power, utilities, basic materials and industrials spurting as much as 5.68 per cent.

Smallcap, midcap and largecap indices too surged up to 4.17 per cent.

“Global markets including Indian equities witnessed a smart pull back after yesterday’s crash as the new sanction imposed by US and UK appeared to be less severe for the Russian economy,” said Siddhartha Khemka, Head – Retail Research, Motilal Oswal Financial Services Ltd.

Also, the US and NATO refused to send their soldiers to Ukraine, thus preventing an extreme war-like situation.

Further, the geopolitical turmoil has led to an expectation that the US Fed may not aggressively increase interest rates in its March meeting, thus adding to positive sentiments on Friday, Khemka said.

The US, EU and Japan have vowed to support Ukraine and agreed on a second tranche of economic and financial sanctions on Russia, even as Russian forces continued their advance towards the Ukrainian capital.

(Only the headline and picture of this report may have been reworked by the Business Standard staff; the rest of the content is auto-generated from a syndicated feed.)

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