Investor wealth erode by over Rs 2.11 lakh crore as Sensex tanks 560 points
Led by the sharp fall in the equity market, the market capitalisation (m-cap) of BSE-listed companies dropped Rs 2,11,776.36 to Rs 1,45,34,758.53.
New Delhi: Investor wealth eroded by over Rs 2.11 lakh crore on Friday as the markets closed deep in the red on Friday.
Led by the sharp fall in the equity market, the market capitalisation (m-cap) of BSE-listed companies dropped Rs 2,11,776.36 to Rs 1,45,34,758.53 as compared to market capitalisation at Rs 1,47,46,534.89 on July 18 (Thursday).
The BSE Sensex tanked 560.45 points or 1.44 percent to 38,337.01 while the NSE Nifty closed 177.65 points or 1.53 percent to 11,419.25 .
The Lok Sabha on Thursday passed the Finance Bill, 2019. Ruling out tweaking the FPI surcharge, Finance Minister Nirmala Sitharaman had on Thursday said trusts should register as companies to be out of the ambit of the surcharge. The Budget had proposed levy of an additional surcharge on individuals and trusts earning more than Rs 2 crore and Rs 5 crore, respectively.
This has led to panic in the markets that once implemented, this move may adversely impact FPIs which are set up as non-corporate vehicles. Markets have borne the brunt of this tax as FPIs are on a selling spree.
On a net basis, foreign institutional investors sold equities worth Rs 1,404.86 crore, while domestic institutional investors purchased shares to the tune of Rs 329.05 crore, provisional data showed.
In the previous session, the 30-share gauge closed at 38,897.46, down by 318.18 points or 0.81 per cent, and the Nifty cracked below the 11,600 mark, ending 90.60 points or 0.78 per cent lower at 11,596.90.