Despite the volatility in the market, on March 10, Indian bourses touched a new milestone in terms of market capitalization. Indian stock exchanges’ market cap left behind the market cap of the United Kingdom for the first time to settle at the sixth place in the world.
Saudi Arabia stands one amongst the top five stock markets globally, with a market cap of $3.25 trillion. Major credit to Saudi’s expanding market goes to Aramco listing in 2019.
India can climb the ladder by one notch once the most-awaited IPO of LIC hits Dalal Street. The response to the IPO will also decide the fate of the Indian bourses market value.
The Street estimates the market value of the insurance giant at about Rs 15 lakh crore post debuting on bourses.
Except for Saudi Arabia, all of the world’s leading stock markets have lost value in 2022, as the Russian invasion of Ukraine caused a heavy selloff in risky assets.
Saudi Arabia could be benefitted from the war, as various world governments imposed sanctions on the world’s leading gas and oil-exporting country. It led to a rise in oil prices, which may have added $687.65 billion since December 1. During the same period under review, Brent crude increased 70%.
Amongst the top 10 countries in terms of market cap, Canada did not seem much vulnerable as it lost $67.9 billion in 2022, much lower than the market value loss by India at $296.5 billion.
The United Kingdom, which stayed ahead of India till now, has lost almost twice the market cap compared with what India has lost since January of this year.
The market capitalization of the United Kingdom decreased a whopping $562.2 billion to settle at $3.11 trillion, Bloomberg data showed.
Besides lesser divestments by the investors, record fundraising via initial public offerings (IPOs) in 2020 augmented the Indian stock market performing better.
Over the last twelve months, 117 companies have pulled in $16.2 billion from the equity market via IPO.
The Ranking Of World’s Top Largest Stock Market:
The market valuation of Saudi Arabia, India, Canada and the United Kingdom falls in the bracket of $1-3 trillion, while Japan and Hong Kong secure the third and fourth rank with $5.8 trillion and $5.5 trillion each.
India beats the market value of big economies like Canada, the UK, with an aggregate market value of $3.16 trillion. Stock exchanges of Canada and the United Kingdom have the market value of $3.12 and $3.11 each, lower than India.