The market capitalisation of BSE companies has reached a historic milestone, crossing the $5 trillion mark for the first time on May 21, 2024. This landmark achievement comes despite the current volatility in the markets due to the ongoing Lok Sabha elections.
According to the latest data available on the BSE’s website, the market capitalisation of all 5,391 listed companies stood at $5 trillion, equivalent to Rs 414.7 lakh crore. This figure is approximately $633 billion higher than at the start of the year, showcasing a significant upward trend in the market’s valuation.
The combined market value of the top-10 companies alone now exceeds $1 trillion or Rs 90.54 lakh crore, underscoring the substantial contributions of major corporations to this growth.
Among the top contributors, Reliance Industries Ltd leads with a market cap of Rs 19.42 lakh crore. TCS follows with Rs 13.82 lakh crore. HDFC Bank, ICICI Bank, and Bharti Airtel also feature prominently, with market caps of Rs 11.08 lakh crore, Rs 7.88 lakh crore, and Rs 7.62 lakh crore, respectively.
Other notable companies in the top-10 list include State Bank of India at Rs 7.41 lakh crore, LIC at Rs 6.46 lakh crore, Infosys at Rs 5.95 lakh crore, ITC at Rs 5.43 lakh crore, and Hindustan Unilever at Rs 5.42 lakh crore.
Notably, BSE’s total market capitalisation had reached $4 trillion in November 2023 and has now soared past $5 trillion in just six months. To put this growth into perspective, BSE-listed firms achieved a market cap of $1 trillion back in May 2007. It took over a decade to double that figure to $2 trillion in July 2017, followed by a relatively quicker rise to $3 trillion in May 2021.
On a global scale, India’s stock market now joins an exclusive club of markets with a market cap exceeding $5 trillion, alongside the United States, China, Japan, and Hong Kong. The US remains the leader with a market cap of nearly $55.65 trillion, followed by China with $9.4 trillion, Japan with $6.42 trillion, and Hong Kong with $5.47 trillion.
Despite this remarkable achievement, the BSE Sensex showed a slight decline on May 21, closing nearly 53 points lower amid volatile trading. The 30-share Sensex settled at 73,953.31, influenced by weak trends in Asian and European markets and fresh foreign fund outflows. The index fluctuated throughout the day, reaching a high of 74,189.19 and a low of 73,762.37.
This historic rise in market capitalisation increases market volatility and elections highlights the inherent strength and potential of India’s economy. The continued growth of major corporations and the increasing confidence of investors play crucial roles in driving this upward trend.
