Investors' wealth tumbles over Rs 3.70 lakh crore as markets crack

NEW DELHI: Investors' wealth in morning trade on Monday tumbled over Rs 3.70 lakh crore as markets went into a tailspin amid record surge in coronavirus cases in India.

The 30-share BSE benchmark index tanked 1,469.32 points to 47,362.71 in early trade. Following the massive selloff, the market capitalisation of BSE-listed companies declined by Rs 3,70,729.4 crore to Rs 2,01,60,016.60 crore in morning trade.

IndusInd Bank, Axis Bank, Bajaj Auto, SBI and ICICI Bank were the biggest drags among the BSE 30-share frontline companies' list.

India's total tally of COVID-19 cases crossed 1.50 crore with a record single-day rise of 2,73,810 new coronavirus infections, while the active cases surpassed the 19-lakh mark, according to the Union Health Ministry data updated on Monday.

"The health crisis India is going through and localised lockdowns and restrictions on economic activity warrant a market correction. The steady rise in test positivity cases and the steady decline in recovery rates are areas of serious concern. But, this negativity need not reflect fully in the market since the global clues are positive," said V K Vijayakumar, Chief Investment Strategist at Geojit Financial Services.

In the previous trading session, the BSE benchmark closed 28.35 points or 0.06 per cent higher at 48,832.03.