Stock mkt may gallop to $5 tn in 2 months; economy in a slower 4 yrs

The economy $5-trillion could hit the mark in the next four years, but the stock market value can soar to $5 trillion within the next two months, going by the roaring rally in state-owned enterprises and the likes of Reliance, Infosys, and TCS, according to market mavens.

- Ram Sahgal & Mayur Bhalerao

The stock market capitalization was $4.75 trillion as of 16 February, with the dollar-rupee at 83.02, as per BSE data.

That leaves a gap of just $250 billion to reach the $5 trillion mark. Going by the pace of the rally in the PSUs and the benchmark Sensex, this figure could be achieved in the next two months, said analysts.

Since the latest leg of the rally from 26 October, the market cap of over 5,300 companies listed on the stock exchange has grown from $3.73 trillion to $4.75 trillion as on date, BSE data shows. That's a little over a trillion dollars ($1.02 trillion) in just over two and a half months.