Stock mkt slump wipes out Rs 2 lakh cr from investor wealth

About Rs 2 lakh crore of investor wealth was wiped off following a crash in the stock market with the BSE benchmark Sensex slumping 630 points over concerns that key reform bills may get delayed.
Tracking the severe weakness in the stock market, the total investor wealth of BSE-listed companies plummeted by Rs 2,04,724.62 crore to Rs 99,05,243 crore.
The Sensex fell sharply to slip below 27,000-level. The index finally settled 629.82 points or 2.29 per cent lower at 26,877.48.
The Sensex had rallied 908.19 points in the last two session.
"The Indian stock market has seen exceptional volatility in the month so far. FIIs have remained in the sell mode since mid-April, which has been one of the key reasons for the weakness in Indian equities," said Hitesh Agrawal - Head Research, Reliance Securities.

"Today's weakness can also be attributed to global cues with the Asian and European indices trading weak. Sustained depreciation in rupee coupled with the ongoing weak corporate earnings season have also created nervousness," he added.

Goods and Service Tax (GST) amendment bill and the land acquisition bill got stuck in the Rajya Sabha, raising fears of further delay in government's economic reforms, traders said.
Market participants were also cautious ahead of the release of retail inflation data for April and IIP data for March, they added.
Among the 30-Sensex stocks, 28 ended the day with losses led by Tata Steel and BHEL. The only two gainers were Dr Reddys Lab and Hero MotoCorp.

At the BSE, 1,962 stocks declined, while 746 scrips advanced. 95 stocks remained unchanged.