Indian households witnessed a sharp erosion of wealth in equities during the March quarter, with nearly ₹12.6 lakh crore wiped out amid a broad market correction triggered by geopolitical tensions, rising crude oil prices, and sustained foreign investor selling. According to the latest NSE Market Pulse report, the correction coincided with a more than 10% fall in the benchmark Nifty during the quarter ended March, as markets reacted to escalating conflict concerns in West Asia, including tensions linked to Iran, alongside a surge in global crude prices. Despite the sharp quarterly loss, cumulative household equity wealth creation since April 2020 remains significant at around ₹44 lakh crore, though fiscal 2026 saw a net dip of ₹2.5 lakh crore largely driven by the fourth quarter correction.
The government's ₹5,080-crore offer-for-sale (OFS) in Coal India was subscribed 3.7 times on Wednesday, reflecting strong institutional demand. According to reports from Business Standard, the share sale received bids for 427.8 million shares against 123 million shares on offer, with the floor price set at ₹412 per share. Coal India shares witnessed sharp volatility during the OFS, falling as much as 6.6% intraday to ₹427.8 before recovering all losses to end 1% higher at ₹463.
At the end of the March 2026 quarter, the government held a 63.1% stake in Coal India, and the current stake sale is part of the Centre's broader disinvestment and fiscal management strategy. As reported by Business Standard, another 12.3 million shares reserved for retail investors will be auctioned on Friday, continuing the government's divestment efforts in the coal sector.
Adani Power on Wednesday surpassed Infosys in market capitalisation, becoming the 11th most-valued company in the country and the most valuable firm within the Gautam Adani-led group. As reported by Business Standard, the power producer is currently valued at around ₹4.8 trillion after its shares rallied nearly 70% so far this year. In contrast, Infosys has seen a 30% erosion in market capitalisation to ₹4.7 trillion amid concerns over artificial intelligence-led disruption in the IT services sector.
Despite the wealth erosion, individuals through direct holdings and mutual funds accounted for 18.7% of total NSE-listed market capitalisation as of March 2026, marking a marginal quarterly increase and remaining close to record highs. However, direct equity participation by individual investors fell to a five-year low of 9.1%, continuing a two-quarter decline that reflected volatile market conditions and a shift toward net selling in secondary markets during fiscal year 2026. The report highlighted that combined individual holdings have now exceeded FPI ownership for six consecutive quarters, reversing a long-standing structural gap that earlier favoured foreign investors.
