Market sell-off: Investors poorer by over Rs 13.3 trn in four days

Lack of fresh positive cues is forcing investors to dump equities and switch to safer havens like gold, says an expert

A four-day decline in stocks has wiped out over Rs 13.32 lakh crore from the market capitalisation of BSE-listed firms.

Sliding for the fourth straight session, the BSE Sensex shed 276.46 points or 0.51 per cent to close at 54,088.39 on Wednesday.
 

In four days, the benchmark has lost 1,613.84 points or 2.89 per cent.

Tracking the weak trend in equities, the market capitalisation of BSE-listed firms tanked Rs 13,32,898.99 crore in four sessions to stand at Rs 2,46,31,990.38 crore.

"Lack of fresh positive cues is forcing investors to dump equities and switch to safer havens like gold, etc. Although the larger texture of the market is still on the bearish side, we could see a sharp pullback rally in the near future due to markets being in an oversold territory," said Shrikant Chouhan, Head of Equity Research (Retail), Kotak Securities Ltd.

Larsen & Toubro, Bajaj Finserv, Bajaj Finance, PowerGrid, NTPC, Infosys and Maruti were among the prominent laggards in the Sensex pack on Wednesday.

In contrast, Axis Bank, IndusInd Bank, HDFC, Kotak Mahindra Bank, HDFC Bank and Bharti Airtel were among the gainers.

Meanwhile, international oil benchmark Brent crude jumped 3.05 per cent to USD 105.7 per barrel.

Foreign institutional investors offloaded shares worth a net Rs 3,960.59 crore on Tuesday, according to stock exchange data.

Vinod Nair, Head of Research at Geojit Financial Services, said, "Investors continue to remain wary despite global markets trading in green due to drop in domestic investors confidence and FII selling."