India`s market regains fifth position globally as m-cap crosses $5 trillion
India has regained the fifth position in the global equity market capitalisation (m-cap) rankings after market value crossed the $5 trillion mark, following corrections in Taiwan and South Korea, even as domestic equities continued to outperform several global peers this month.
India's total market capitalisation currently stands at over $5 trillion, ahead of Taiwan at $4.97 trillion and South Korea at $4.66 trillion, restoring India's position as the world's fifth-largest equity market.
Meanwhile, the market capitalisations of the US and China remained largely unchanged during the period.
However, the change in rankings comes as investors booked profits in Taiwan and South Korea after months of record-breaking rallies driven by artificial intelligence (AI) and semiconductor stocks.
In addition, global equity markets have largely underperformed in June, while Indian shares have remained relatively resilient.
During the month, India's market capitalisation rose 2.75 per cent, whereas South Korea's and Taiwan's market capitalisation declined 4.7 per cent and 2.3 per cent, respectively.
Among other major markets, Japan's market capitalisation fell about 1 per cent, Hong Kong declined more than 8.3 per cent, Canada slipped 3 per cent, the UK lost around 2 per cent, France fell 1.1 per cent and Germany declined 5.6 per cent.
Many analysts attributed the resilience in Indian equities to easing crude oil prices, improving valuations and sustained foreign investor interest.
According to them, Nifty's price-to-earnings multiple has moderated from nearly 24 times to around 18 times, making valuations more attractive.
Additionally, Indian equity benchmarks outperformed many global peers.
So far this month, Sensex and Nifty have gained almost 4 per cent and nearly 3 per cent, respectively in dollar terms.
