Investors logged an erosion of Rs 3.2 lakh crore in their wealth on first trading session of FY21 on rising fears that global economy was heading into recession on rising number of coronavirus cases. Market capitalisation on BSE fell to Rs 110.28 lakh crore today compared to Rs 113.48 lakh crore on Tuesday.
The erosion in investor wealth came after Sensex plummeted over 1,203 points in line with a global selloff as investors fretted over the impact of prolonged worldwide lockdowns due to the Covid-19 pandemic.
The 30 stock index closed 4.08 per cent lower to finish at 28,265.31. Similarly, NSE Nifty tanked 343.95 points, or 4 per cent, to close at 8,253.80.
According to traders, domestic equities plunged in tandem with global stocks as no respite from the coronavirus pandemic seemed in sight.
In March alone, investors saw wealth erosion of Rs 33.39 lakh crore on BSE after coronavirus battered global and domestic markets.
On February 28, market capitalisation on BSE stood at Rs 146.87 lakh crore compared to Rs 113.48 lakh crore market cap on March 31 this year.
The slide in investor wealth was followed by 8,829-point loss in Sensex last month. Sensex which closed at 38,297 on February 28 ended at 29,468 on March 31 in last fiscal.
Till date, total number of infected cases surged past 8.6 lakh, while deaths have crossed 42,000 around the world.
The number of Covid-19 cases has climbed to 1,637 in India, while the death toll rose to 38, according to the Health Ministry.