Investors become poorer by Rs 5 lakh crore in two days of market crash
Mumbai : Investors became poorer by Rs 5 lakh crore in two days of stock market crash where the BSE benchmark index plummeted by 1,357 points.
Markets witnessed severe selling Thursday with the benchmark Sensex crashing over 806 points to end at 35,169.16 after the rupee crashed to a new life-time low and global crude oil price breached the US $86 a barrel.
The gauge had lost 550.51 points Wednesday on rupee woes and surging crude oil prices.
Led by the sharp sell-off in equities, the market capitalisation of BSE-listed companies tumbled Rs 5,02,895.97 crore to Rs 1,40,39,742.92 crore (US $1.90 trillion). The dollar figure has been arrived at by calculating the m-cap from rupee’s intra-day low of 73.81 Thursday. With this, market capitalisation of BSE-listed firms slipped below the US $2 trillion.
“The strongest of businesses and the bluest of blue chips have cracked in the last couple of sessions, which highlights the prevailing negative sentiment and an environment of pessimism. With the rupee hitting record low, crude prices moving northwards, increasing fears of a broadening current account deficit along with the liquidity worries led to another major fall in the indices and broader markets.
“With deteriorating macros, all eyes will now be on the second quarter earnings and how the current liquidity situation is addressed,” said Devang Mehta, Head – Equity Advisory, Centrum Wealth Management.
The bloodbath on the bourses was primarily triggered by continued slide in the rupee which hit yet another low of 73.81 (intra-day) against the dollar, brokers said.
From the 30-share pack, 24 scrips declined, while 6 advanced. RIL was the worst hit from the pack plunging 7.03% followed by Hero MotoCorp 5.45% and TCS 4.54%.
In the broader market, the S&P BSE midcap index fell by 1.93% and smallcap index 2.07%.
“Indian markets have been seeing a sharp sell off on account of depreciation in rupee and higher crude prices. This negative sentiment was further reinforced by fears of liquidity crisis to support credit growth following the IL&FS scare,” said Nitasha Shankar, Sr vice president and Head of Research, YES Securities.
Nearly 400 stocks hit their 52-week low on BSE Thursday.
At the BSE, 1,889 stocks declined, while 775 advanced and 138 remained unchanged.
courtesy : hindustantimes.com
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Rajasthan: ACB court sends former IAS Subodh Agarwal to 2-day police remand in JJM scam
Jaipur (PTI): Retired IAS officer Subodh Agarwal, arrested in connection with the alleged Rs 960-crore Jal Jeevan Mission scam, was produced before an ACB court on Monday, which sent him to two days' police remand.
The Anti-Corruption Bureau had sought a three-day remand for further questioning in the matter, but the court granted two days' custody.
The order was passed by the ACB Court-1.
A team from the ACB arrested Agarwal on Thursday in connection with the multi-crore Jal Jeevan Mission corruption case.
He was sent to a three-day police remand on Friday. On completion of the remand period, the ACB produced him in court.
Agarwal was serving as the additional chief secretary of the public health engineering department when the alleged scam took place.
Some firms had allegedly secured tenders by submitting forged completion certificates in connivance with officers. Last month, the ACB arrested nine persons, including senior engineers and retired officials, in connection with the scam. Earlier, the ACB had arrested contractors.
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