Indian Stock Market Rally Pushes BSE Market Cap Over Rs 450 Lakh Crore
The Indian stock market is witnessing a strong rally, with the market capitalization of Bombay Stock Exchange (BSE) listed companies surpassing Rs 450 lakh crore once again. In the past three trading sessions, the Sensex and Nifty have both surged by over 4%, contributing to a more than Rs 10 lakh crore increase in the combined market cap of all BSE-listed firms. As of the latest data, the total market cap stands at Rs 454 lakh crore.
Wednesday’s trading session continued the upward momentum, with the Sensex at 81,008, up by 163 points (0.20%), and the Nifty at 24,487, gaining 29 points (0.13%). Key stocks, including HDFC Bank, Persistent Systems, Info Edge (Naukri), Dixon Technologies, and Policybazaar, are nearing their all-time highs, reflecting the broader bullish sentiment in the market.
The Bank Nifty, in particular, is leading the charge, reaching 53,054 with a gain of 361 points (0.68%). Despite concerns over a slowdown in Q2 GDP growth and foreign institutional investor (FII) selling, the market remains resilient, showing strength despite global uncertainties, including the potential impact of the Trump presidency.
However, market experts caution that, while the market has remained resilient, valuations are elevated, with the Nifty trading at around 20 times estimated FY26 earnings. In light of these factors, they advise investors to adopt a cautious strategy, focusing on asset allocation. For those with a lower risk appetite, a shift from overvalued mid and small-cap stocks to large-cap stocks or debt instruments may be a prudent approach.
