Did India's Listed Firms Hit a One-Year Market Cap High?

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Did India's Listed Firms Hit a One-Year Market Cap High?

Synopsis

India's listed companies have reached a significant milestone, climbing past Rs 467 lakh crore in market capitalisation. This surge is primarily driven by foreign investments and expectations of a pivotal trade deal with the US. Explore the implications of this upward trend and what it means for investors and the economy.

Key Takeaways

  • India's market capitalisation exceeds Rs 467 lakh crore.
  • Driving factors include foreign investor buying and expectations of a trade deal.
  • Sector gains seen in realty, IT, and banking.
  • Investor sentiment bolstered by anticipated rate cuts.
  • Expert outlook remains bullish for the short term.

New Delhi, Oct 17 (NationPress) The market capitalisation of India's publicly traded companies surged past Rs 467 lakh crore, achieving a one-year peak, thanks to renewed foreign investment and heightened optimism surrounding an India–US trade agreement.

This increase was also propelled by festive demand leading up to Dhanteras, improved forecasts for corporate earnings, and a consistent fall in crude oil prices, which collectively enhanced overall economic sentiment, according to analysts.

The total market capitalisation of all companies listed on the BSE exceeded levels last observed on October 1, 2024, and is currently only 2.3 percent away from the all-time high recorded on September 27, 2024. Since the beginning of October, investors have augmented market value by nearly Rs 16 lakh crore.

Gains were widespread, as stocks across large, mid, and small-cap categories saw increases. Both the Sensex and Nifty reached nearly four-month highs, climbing 3.6 percent thus far in October.

Analysts pointed out that investor confidence has improved due to anticipated rate cuts from the US Federal Reserve and the Reserve Bank of India, coupled with progress in India–US trade discussions, particularly regarding energy cooperation.

Key sectors driving this upward trend included realty, IT, and banking, with Nifty Realty rising 7 percent, while both Nifty Bank and Nifty IT gained 5.1 percent each.

Major indices like the BSE Midcap index increased by 3.66 percent, while the Smallcap index rose by 2.1 percent.

Experts conveyed that the short-term market outlook remains bullish, although it may enter a period of consolidation. The support levels for the Sensex are noted at 25,500-25,400, and for the Nifty at 83,200-82,900. Resistance levels for the Sensex are 25,725-25,800, while for the Nifty, they are 83,800-84,000.

In the last eight trading sessions, foreign institutional investors (FIIs) have emerged as net buyers in six instances, investing over Rs 4,000 crore in the secondary market. Concurrently, domestic institutional investors (DIIs) have put in over Rs 18,000 crore.

Point of View

It is crucial to recognize the significance of this market surge as a reflection of investor confidence. This trend, driven by foreign inflows and positive economic indicators, illustrates the resilience of India's market and its attractiveness to global investors.
NationPress
18/10/2025

Frequently Asked Questions

What is the current market capitalisation of India's listed firms?
India's listed companies have reached a market capitalisation of over Rs 467 lakh crore, marking a one-year high.
What factors contributed to this increase?
The increase is attributed to renewed foreign investments, expectations of a trade deal with the US, festive demand, and improved corporate earnings prospects.
What sectors are currently driving the market uptrend?
Key sectors driving the uptrend include realty, IT, and banking, with significant gains in Nifty Realty, Nifty Bank, and Nifty IT.
How have foreign and domestic institutional investors reacted recently?
In recent sessions, foreign institutional investors have been net buyers, investing over Rs 4,000 crore, while domestic institutional investors have invested over Rs 18,000 crore.
What is the outlook for the market in the short term?
Experts suggest a bullish outlook for the short term, though the market could consolidate within certain ranges.
Nation Press