love_gundu22
Praveen Gurwani
Investor wealth takes a Rs 1 lakh cr knock
M-Cap of bank stocks register sharp decline, SBI loses 8%
Investors have suffered a massive wealth erosion of Rs 1,01,556 crore in the stocks listed on BSE in a single trading session on Monday. The bears seized control, riding on the back of profit booking by a cross section of investors. The Sensex declined by 400.06 points (-2.90%) to close at 13,399.43 points from Friday’s level of 13,799.49.The Nifty also declined by 112.5 points (-2.84%) to 3849.50 from 3,962.00.
While banks, entertainments, media, electricity, telecommunications and cement & products sector stocks witnessed significant decline, IT, oil &gas, engineering, chemicals, paper and food processing were only marginally impacted.
S V Prasad, Senior Financial Services Professional, said : “The volatility that we have seen in the market was because of profit-booking by FIIs and every year around this time FIIs do book profits. Also, many IPOs are coming -- Cairn opened today. Therefore, funds are getting diverted from the secondary market to the primary market.”
Market capitalisation (M-Cap) of banks registered a sharp decline. SBI lost a whopping Rs 5,828 crore from its M-Cap, a decline of 8.18% to Rs 65,406 crore over its December 8, level of Rs 71,235 crore. Bank of India showed a decline of 10.06% in M-Cap, while ICICI Bank lost Rs 5,117 crore.
The aggregate M-Cap of The Stock Exchange, Mumbai (BSE) declined by a whopping Rs 1,01,556 (-2.88%) in a day, from the level of Rs 35,22,993 crore on December 8 to Rs 34,21,427 crore on December 11, 2006.
The market capitalisation of BSE “A” group also dropped by 3.08%( Rs 84,930 crore) in a day, from Rs 27,58,591 crore to Rs 26,73,661 crore during the same period.
Stocks of companies in cement & products industries like ACC, India Cements and Birla Corporation also faced the heat. The M-Cap of ACC declined by 6.25% to Rs 19,417 crore, while that of India Cements decreased by 6.58 % to Rs 4,742 crore.
Conversely, some of the biggest increases in M-Cap were observed in the case of Adani Enterprises (3.8%) , Visualsoft Technologies (2.78%), Polaries Software (2.14%) and Thermax (0.68%). The M-Cap of Adani Enterprises increased from Rs 5,490 crore to Rs 5,699 crore on December 11, 2006.
:SugarwareZ-064:
M-Cap of bank stocks register sharp decline, SBI loses 8%
Investors have suffered a massive wealth erosion of Rs 1,01,556 crore in the stocks listed on BSE in a single trading session on Monday. The bears seized control, riding on the back of profit booking by a cross section of investors. The Sensex declined by 400.06 points (-2.90%) to close at 13,399.43 points from Friday’s level of 13,799.49.The Nifty also declined by 112.5 points (-2.84%) to 3849.50 from 3,962.00.
While banks, entertainments, media, electricity, telecommunications and cement & products sector stocks witnessed significant decline, IT, oil &gas, engineering, chemicals, paper and food processing were only marginally impacted.
S V Prasad, Senior Financial Services Professional, said : “The volatility that we have seen in the market was because of profit-booking by FIIs and every year around this time FIIs do book profits. Also, many IPOs are coming -- Cairn opened today. Therefore, funds are getting diverted from the secondary market to the primary market.”
Market capitalisation (M-Cap) of banks registered a sharp decline. SBI lost a whopping Rs 5,828 crore from its M-Cap, a decline of 8.18% to Rs 65,406 crore over its December 8, level of Rs 71,235 crore. Bank of India showed a decline of 10.06% in M-Cap, while ICICI Bank lost Rs 5,117 crore.
The aggregate M-Cap of The Stock Exchange, Mumbai (BSE) declined by a whopping Rs 1,01,556 (-2.88%) in a day, from the level of Rs 35,22,993 crore on December 8 to Rs 34,21,427 crore on December 11, 2006.
The market capitalisation of BSE “A” group also dropped by 3.08%( Rs 84,930 crore) in a day, from Rs 27,58,591 crore to Rs 26,73,661 crore during the same period.
Stocks of companies in cement & products industries like ACC, India Cements and Birla Corporation also faced the heat. The M-Cap of ACC declined by 6.25% to Rs 19,417 crore, while that of India Cements decreased by 6.58 % to Rs 4,742 crore.
Conversely, some of the biggest increases in M-Cap were observed in the case of Adani Enterprises (3.8%) , Visualsoft Technologies (2.78%), Polaries Software (2.14%) and Thermax (0.68%). The M-Cap of Adani Enterprises increased from Rs 5,490 crore to Rs 5,699 crore on December 11, 2006.
:SugarwareZ-064: