NSE market capitalisation at all-time high

The total market capitalisation of stocks listed on the National Stock Exchange (NSE) has scaled an all time high of Rs 12,70,157 crore on Tuesday, though the broader indices are yet far from their peaks.

Even at the height of the tech boom in 2000, the total market value of the stocks listed on the NSE was less than Rs 12,00,000 crore. This year, on January 8, the market capitalisation on the exchange had risen as high as Rs 12,35,165 crore.

But on October 1, 2004, the market capitalisation had increased to Rs 12,43,976 crore, thanks to a jump in large cap stocks. The upward trend has continued in the two trading days this week, and currently the total market capitalisation stands at Rs 12,70,157 crore.

However, a look at the broad based indices like the NSE's S&P CNX 500 shows that the markets are still short of the peak reached in early 2000.

Thus, while the NSE's market capitalisation has increased 8.84 per cent since January 1, this year, the S&P CNX 500 has actually sliped 0.12 per cent.

Market sources said the discrepancy is because of TCS getting listed. TCS alone accounts for around 4 per cent of NSE's market capitalisation.

Excluding TCS (and the other stocks which have listed since 2000), the market capitalisation figure would be lower vis-a-vis early 2000.

In the case of market indices, although large cap shares like Bharti Televentures and Maruti Udyog have been added, the base is adjusted accordingly to give a consistent picture. In terms of market direction, the S&P CNX 500 is still some 10 per cent away from the peak reached of 1707 in February 2000.