The Indian stock exchange becomes sixth and overtakes France
India is now the sixth largest stock market in the world, overtaking France for the first time in terms of market capitalization, with the benchmark Sensex rising by more than 23% this year.
India’s market cap was $ 3.4055 billion on Tuesday, September 14, 2021, compared to $ 3.4023 billion in France, according to Bloomberg data.
India recorded the largest increase in market capitalization this year, registering more than $ 873.4 billion, an increase of 35% from $ 2.52 trillion as of December 31, 2020. As of March 2020, the India added nearly $ 2.08 trillion in market capitalization, a gain of 159%. In 2020, it added a market cap of $ 373 billion, a gain of 17.4% from $ 2.14 trillion.
Main stock markets in the world
The US stock market is the most valued in the world with a market capitalization of $ 51.3 trillion, followed by China at $ 12.42 trillion, Japan at $ 7.43 trillion, Hong Kong at 6, $ 52 trillion and the UK’s $ 3.68 trillion.
Sensex & Nifty Growth
Sensex and Nifty both gained 23% and 25% year-on-year, respectively, while foreign and domestic investors bought shares worth $ 8 billion and Rs 23,532 crore.
Sentiment is extremely bullish, industry experts say, and more highs can be achieved.
Current and future growth indicators of the Indian equity market
– Flows of foreign investors with a clear improvement in the main economic indicators such as the industrial production index for July which was 11.5%. The drop in retail price inflation to 5.3% in August is a good sign. This would help the RBI to keep its monetary policy loose to support the ongoing recovery in economic dynamics.
– Strong liquidity and positive macroeconomic signals should support domestic markets to continue their movements at record levels. With the start of the holiday season and the further easing of Covid-19 restrictions, consumer demand is expected to pick up, leading to further market growth.
– Better-than-expected collections of GDP and the goods and services tax (GST) indicate a steady rebound in profits. This will help the stock market to maintain top quality valuations.