The combined market capitalization of all companies listed on the National Stock Exchange (NSE) slipped below the $5 trillion mark for the first time in about eight months, underscoring the sustained weakness in Indian equity markets. According to the latest data, the total valuation of NSE-listed firms stood at approximately $4.98 trillion, a level not seen since early May 2025.
Key Highlights
- Total market capitalisation of NSE-listed companies drops below $5 trillion mark.
- Equity markets under pressure amid global volatility and sustained selling.
This represents a significant contraction from around $5.3 trillion at the start of the year, indicating that nearly $300 billion in market value has been wiped off as broader market indices faced selling pressure. The downturn in market capitalisation comes amid a broader correction that has pushed both major benchmarks — the Sensex and Nifty — to lower levels after a series of declines.
On January 20, Indian markets recorded notable downward movement, with key indices falling sharply. Sensex dipped over 1,000 points, while Nifty slid more than 350 points, pressing valuations lower and dragging major sectoral indices into negative territory. Analysts attributed the sell-off to a combination of factors, including global stock volatility, foreign institutional investor outflows, and cautious sentiment among domestic investors.
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The decline in market capitalization highlights ongoing challenges for equities, even as market participants watch for cues on corporate earnings, global economic trends, and policy developments that could influence investor confidence and market direction in the near term.