Top 10 firms in India lost ₹4.48L crore last week
What's the story
The combined market capitalization of India's top 10 companies took a major hit last week, falling by ₹4.48 lakh crore. The decline was mainly due to a sharp fall in equities, with banking giants State Bank of India (SBI) and HDFC Bank bearing the brunt of the losses. The Sensex and Nifty both witnessed significant drops last week amid rising crude oil prices and concerns over inflationary pressures and global economic stability due to the ongoing conflict in West Asia.
Market analysis
Market downturn attributed to rising crude oil prices
Ajit Mishra, SVP of Research at Religare Broking Ltd, attributed the market downturn to rising crude oil prices amid the escalating conflict between Iran, the US, and Israel. He said Brent crude crossed $101 per barrel, raising concerns over India's fiscal position and inflation outlook. SBI's market valuation plummeted by ₹89,306.22 crore to ₹9.66 lakh crore while HDFC Bank's valuation fell by ₹61,715.32 crore to ₹12.57 lakh crore last week.
Valuation impact
Other companies that witnessed major hits
Other companies that witnessed a major hit in their market valuation include Bajaj Finance and Tata Consultancy Services (TCS). Bajaj Finance's valuation dived by ₹59,082.49 crore to ₹5.32 lakh crore while TCS's tanked by ₹53,312.52 crore to ₹8.72 lakh crore last week. ICICI Bank's market capitalization dropped by ₹42,205.04 crore to ₹8.97 lakh crore while Bharti Airtel's plunged by ₹38,688.78 crore to ₹10.28 lakh crore during the same period.
Market fluctuations
LIC, Infosys, and Hindustan Unilever also suffered losses
Reliance Industries's valuation fell by ₹33,289.88 crore to ₹18.68 lakh crore while LIC's market capitalization diminished by ₹31,245.49 crore to ₹4.88 lakh crore last week. Infosys's valuation declined by ₹24,230.96 crore to ₹5.06 lakh crore during the same period. Hindustan Unilever's market capitalization dipped by ₹15,401.57 crore to ₹5.07 lakh crore last week amid these fluctuations in the Indian stock market due to rising crude oil prices and global economic instability amid the ongoing conflict in West Asia