Business / Investor wealth rises by ₹2.83 lakh cr as RBI announces liquidity measures

Investor wealth rose by ₹2.83 lakh crore to ₹123.5 lakh crore as Sensex ended over 986 points higher at 31,588.72 on Friday. This comes after the RBI announced measures to ensure adequate liquidity and financial stability amid the lockdown due to coronavirus which began on March 25. The RBI cut reverse repo rate by 25 basis points to 3.75%.

Deccan Herald : Apr 18, 2020, 10:45 AM
New Delhi: Investor wealth on Friday rose by Rs 2,83,740.31 crore as markets soared over 986 points after a second batch of stimulus measures by the RBI.

The 30-share BSE Sensex ended 986.11 points or 3.22 per cent higher at 31,588.72.

Rise in the equity market helped the market capitalisation of BSE-listed companies jump Rs 2,83,740.31 crore to Rs 1,23,50,980.37 crore at close of trade.

From the Sensex pack, Axis Bank was the top gainer, surging 13.45 per cent, followed by ICICI Bank (9.89 per cent), IndusInd Bank (9.13 per cent), Maruti (7.36 per cent), TCS (5.32 per cent), Kotak Bank (4.96 per cent) and Reliance Industries (4.82 per cent).

"The Indian markets ended Friday's session on a firm note led by some strong measures by the RBI to ensure adequate liquidity and financial stability. The announcement from the RBI is a big positive for the Indian markets as well as the economy. Importantly, it has triggered a surge in the banking space which was underperforming for quite a sometime now and sustained recovery in the auto pack further added to the buoyancy," said Ajit Mishra, VP - Research, Religare Broking Ltd.

Interest rate-sensitive banking, financial, auto and realty indices on the BSE settled up to 6.83 per cent higher.

In his second televised address since the nationwide lockdown began on March 25, Reserve Bank of India (RBI) Governor Shaktikanta Das pledged to boost liquidity and expand bank credit.

In the broader market, the BSE midcap and smallcap closed 2.12 per cent and 2.44 per cent higher, respectively.

On the BSE, 1,716 scrips advanced, while 714 declined and 163 remained unchanged.