New Delhi: Investor wealth dropped Rs 2.55 lakh crore on Tuesday following a sharp plunge in the equity market as investor sentiment went for a toss amid concerns related to economic crisis and trade issues.
The BSE benchmark Sensex tumbled 769.88 points, or 2.06 per cent, to close at 36,562.91.
Led by the sharp drop in the equity market, the market capitalisation of BSE-listed companies tanked Rs 2,55,585.56 crore to Rs 1,38,42,866.10 crore.
"Markets have reacted to weak auto sales data, lower than expected GDP growth number for Q1FY20 indicating that slowdown is more pronounced thus demanding for policy measures on both monetary and fiscal side. The recent measures taken by the Ministry of Finance would help mitigate the risk but more is expected to reverse the trend.
"News flow from global markets is not conducive either; US-China trade conflict has reached a new high with both the nations continuing to talk but at the same time imposing an additional tariff on goods imported from the other nation," Arun Thukral, MD & CEO, Axis Securities said.
From the 30-share basket, 28 scrips suffered losses, led by ICICI Bank, Tata Steel, Vedanta, HDFC, IndusInd Bank and Tata Motors falling by up to 4.45 per cent.
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