Investor wealth swells by Rs 6.5 lakh cr in a minute
Investors have become richer by a whopping Rs 6.5 lakh crore in just a minute as the Sensex saw a historic 2,111 point rise to the 14,000 level as the markets cheered the decisive win of the ruling UPA government in the Lok Sabha elections.
Investor wealth, measured in terms of the combined market capitalisation of all the listed companies, increased by over Rs 6,56,477 crore in a minute -- in the first 30 seconds and then after the resumption of trading at 1155 hours -- to Rs 44,63,420.97 crore.
The 30-share Bombay Stock Exchange, the Sensex, zoomed 1,305.97 points at 13,479.39, hitting the upper circuit within seconds of opening of trade, following which trading was halted for two hours. After trading resumed, the Sensex soared 806 points at 14,284.21, following which trading was halted for the day.
Hopes of a stable government at the Centre for the next five-years, and positive moves such as stimulus and reforms taking place during this period have boosted the sentiment in the Indian stock markets.
Life in a way has come in full circle for the UPA. In 2004, when the UPA coalition came to power, the Sensex hit its 10% lower circuit and tanked over 11% eventually. Today, however, the index has done a complete vice versa, the index has hit its 20% upper limit and has closed for the day.
The change in fortunes is for obvious different reasons, last time around a coalition government backed by Left support was coming into power, while this around it's an almost majority UPA government coming to power.
