Tag: m-cap

MUMBAI: For the first time ever, the total value of all the listed stocks in the world crossed $100 trillion last week on the back of major contributions from the US and Chinese markets. On December 5, the world’s market capitalisation was at $100.5 trillion, or about Rs 7,400 lakh crore, Bloomberg data showed.

A large part of this rally is due to the upswing in tech stocks in the US, popularly known as FAANGM (Facebook, Apple, Amazon, Netflix, Google and Microsoft), market players said. At close of trading last week, the US had an m-cap of $41.6 trillion, while China’s was $10.7 trillion. India, with a market cap of $2.4 trillion, or about Rs 180 lakh crore, was placed 10th.

On March 24, the global market cap had fallen to $61.6 trillion — a level that was not seen since 2016, Bloomberg data showed. However, a steep V-shaped recovery of almost 63% from the March low has helped global m-cap reach the milestone. Year-to-date, the value is up 15.5%, from $87 trillion at the close of 2019.

The US and China have increased their market share in 2020, while all the other eight in the top 10 m-cap league have lost their shares.

From 39.5% at the start of the year, the US now has a share of over 41.6% to lead the global market cap table, while China with 10.7% from 8.4% at the start, is the second-most valued.

On the other hand, Japan — the country with the third-highest market cap — grew from $6.3 trillion to nearly $6.8 trillion, but its share in global m-cap slid from 7.2% to just over 6.7%. Likewise, India’s share currently is 2.4%, down marginally from 2.5% at the start of the year.

Canada is the only country that increased its position in the global league table to seven from eight, replacing Saudi Arabia, thanks mainly to Saudi Aramco’s m-cap which is almost at the same level it was at the start of the year, while a rally in tech stocks lifted Canada’s market cap.