18 May 2009 PTI
MUMBAI: Investor wealth soared by a whopping Rs four lakh crore within seconds of opening of trade on the Bombay Stock Exchange, as the markets were elated at the decisive win of the ruling UPA government in the general elections.
The total investors' wealth, measured in terms of combined market capitalisation of all the listed companies, has increased by over Rs 4,08,410.60 crore in the opening trade to Rs 42,15,354.29 crore.
The 30-share Bombay Stock Exchange Sensex zoomed 1,305.97 points at 13,479.39, hitting the upper circuit within seconds of opening of trade, following which trading was halted for two hours.
Ashika Stock Brokers Research Head Paras Bothra said "the buying spree is likely to continue after the market reopens and may touch another circuit limit."
He further said "very low volumes were traded as most investors could not engage in any buying activity as the markets hit its upper circuit within seconds."
Further, the 30 Sensex companies, which account for over 47 per cent of the total market capitalization of all the companies, saw their combined market valuation rise by nearly two lakh crore in the opening trade today.
The combined market capitalization of the 30-blue chip stocks rose to Rs 20,33,564.40 crore today, from Rs 18,36,841.33 crore at the end of trade on Friday.
Among the Sensex companies Reliance Communication, Reliance Infrastructure, Larsen & Toubro, ICICI Bank and Jaiprakash Associates were among the major gainers with their stock prices surging between 18 per cent and 20 per cent.
From the beginning of the year, the benchmark 30-share index Sensex has made gradual recovery and has been on a gaining spree for the 10th consecutive week at the end of trade on Friday.
With today's upper circuit, the index crossed the 13,000 milestone again. It is for the first time that the Sensex has hit the upper circuit of 10 per cent.
While the National Stock Exchange 50-share Nifty increased 600 points or 14.48 per cent at 4,271.40.
All the major sector-indices were in the positive zone with realty surging the most by 15.84 per cent, bankex by 13.63 per cent, consumer goods by 12.83 per cent, power by 12.39 per cent among others.
Markets were expected to surge today in the first trading day after the announcement of the general election results, which showed that the UPA is set to form the next government without the Left support this time.