Markets crash wipes out Rs 6.80 lakh cr from investors' wealth
New Delhi, Oct 25: Investors' wealth eroded by a whopping Rs 6.80 lakh crore on Friday as equity markets tumbled, driven by a sharp fall in IndusInd Bank shares and unabated foreign fund outflows.
The BSE Sensex tanked 662.87 points or 0.83 per cent to settle at 79,402.29. During the day, it slumped 927.18 points or 1.15 per cent to 79,137.98.
Tracking the weak trend in equities, the market capitalisation of BSE-listed firms tumbled Rs 6,80,383.26 crore to Rs 4,36,98,921.66 crore (USD 5.20 trillion).
"The Indian equity market is experiencing a sharp correction due to multiple factors. The primary driver is foreign institutional selling, driven by valuation concerns and the increased attractiveness of the Chinese market.
"Another major factor is disappointing earnings reports from Indian companies, especially in the consumption sector, which signal an economic slowdown, particularly in urban consumption," Santosh Meena, Head of Research at Swastika Investmart, said.
From the 30 Sensex pack, IndusInd Bank plunged 18.56 per cent after the firm reported a 40 per cent decline in September quarter net profit at Rs 1,331 crore, pulled down by concerns over its asset quality.
Mahindra & Mahindra, Larsen & Toubro, NTPC, Adani Ports, Tata Steel, Maruti, Bajaj Finance and Titan were also among the laggards.
From the blue-chip pack, ITC climbed over 2 per cent after the diversified entity reported a 1.8 per cent increase in its consolidated net profit to Rs 5,054.43 crore in the second quarter ended September 2024.
Axis Bank, Hindustan Unilever, Sun Pharma and ICICI Bank were the other big gainers.
"Markets continued its downward trajectory as broader selloff pulled down key benchmarks with Sensex ending below the crucial 80k mark. The dismal Q2 earnings so far has aggravated the investors’ woes while persistent FII selling continued to create havoc in the market," said Prashanth Tapse, Senior VP (Research), Mehta Equities Ltd.
Foreign Institutional Investors (FIIs) offloaded equities worth Rs 5,062.45 crore on Thursday, according to exchange data, while Domestic Institutional Investors (DIIs) bought Rs 3,620.47 crore shares.
In Asian markets, Seoul, Shanghai and Hong Kong settled higher, while Tokyo ended lower.
European equity markets were trading in the positive territory. The US markets ended mostly higher on Thursday.
In an uninspiring trade, the BSE benchmark dipped 16.82 points or 0.02 per cent to settle at 80,065.16 on Thursday. The Nifty skidded 36.10 points or 0.15 per cent to 24,399.40 in a volatile trade.
Let the Truth be known. If you read VB and like VB, please be a VB Supporter and Help us deliver the Truth to one and all.
'Rear-guard action': BJP over Mamata accepting sports minister's resignation after Messi event
New Delhi (PTI): The BJP on Tuesday alleged that West Bengal Chief Minister Mamata Banerjee's accepting Aroop Biswas' resignation as the state sports minister is nothing but a "rear-guard action" to douse public anger over the mismanagement of football icon Lionel Messi's event last week.
BJP co-in-charge for West Bengal Amit Malviya alleged that this is also an "open confession" that the Messi event fiasco was not accidental but a government-manufactured disaster, borne out of the poor governance of Banerjee, her ministers and the state bureaucracy.
Banerjee on Tuesday accepted Biswas' resignation as the sports minister in the wake of the controversy over the mismanagement of football icon Messi's event last week, a senior leader of the ruling TMC said.
Biswas, who had written to the chief minister seeking to be relieved of his responsibilities as sports minister, will continue as a cabinet minister, retaining charge of the power department.
ALSO READ: Slain Australia beach shooting suspect native of Hyderabad: T'gana police
Reacting to the development, Malviya said in a post on X, "TMC Sports Minister Aroop Biswas resigns after the Messi fiasco and Mamata Banerjee accepts it in record time."
"Do not mistake this for accountability; this is nothing but a rear-guard action to douse public anger. anger! This is not 'Raj Dharma'," he added.
The BJP leader alleged that the incident was the outcome of "loot" of common people which is "so synonymous" with the TMC.
The incident was also the outcome of the "shameless VIP culture that TMC thrives on and deep-rooted cronyism promoted by Banerjee," he charged.
Malviya further alleged that Biswas' resignation exposes a "collective failure of Mamata Banerjee, her partisan bureaucracy, and her crony cabinet".
"This is a symbolic sacrifice, a political hoax, soon to be buried under layers of bureaucracy, with no justice, no accountability, and no remorse," the BJP leader said, adding, "No resignation will bring back the time lost, the money wasted, or the stolen chance for football lovers to witness Messi in Kolkata."
