India Rises To Fifth Rank In Global Market Capitalisation As South Korea, Taiwan Fall

India has reclaimed the fifth position in global market capitalisation (mcap) rankings after slipping to seventh earlier, as declines in the stock markets of South Korea and Taiwan pushed both economies below the $5 trillion mark.

India's total market capitalisation currently stands at $5.05 trillion, ahead of Taiwan at $4.97 trillion and South Korea at $4.66 trillion, as per a report by Moneycontrol. The United States continues to lead the global rankings, followed by China, Japan and Hong Kong.

Indian equities have outperformed most major global markets in June, while several overseas markets have witnessed profit booking. Taiwan and South Korea, which had enjoyed extended rallies driven by enthusiasm around artificial intelligence (AI) and semiconductor companies, came under pressure as investors locked in gains.

During June, India's market capitalisation rose 2.75%, while South Korea and Taiwan recorded declines of 4.7% and 2.3%, respectively. Other leading markets also weakened, with Hong Kong falling 8.3%, Germany declining 5.6%, Canada losing 3.1%, Japan slipping 1.06%, the UK easing 1.9%, and France down 1.1%, according to the report.

Falling Crude Prices Lift Indian Markets

The Sensex and Nifty have reportedly gained 3.8% and 2.8%, respectively, in US dollar terms so far this month. The broader BSE MidCap 150 and BSE SmallCap 250 indices have advanced 1.3% and 4.4%.

Market experts attributed the recent strength in Indian equities to softer global crude oil prices, more attractive valuations and renewed foreign institutional investor (FII) interest. Foreign investors have purchased nearly $1 billion worth of Indian equities, while easing geopolitical tensions in West Asia have also improved investor confidence.

The Reserve Bank of India's (RBI) recent measures to encourage foreign investment into debt markets, along with cooling enthusiasm for AI infrastructure stocks globally, have further supported sentiment.

According to ICICI Securities, crude oil prices and the Nifty 50 historically share an inverse relationship when oil trades above the $90-100 per barrel range. Lower oil prices could therefore benefit Indian equities by reducing the country's import bill and improving macroeconomic stability, as per the report.

Despite the recent recovery, India continues to trail several global peers in year-to-date performance. In 2026, India's market capitalisation has declined 4.8% in dollar terms, compared with gains of 74% in South Korea, 52% in Taiwan, 13.5% in China, 11.7% in Japan, 10% in the United States and 4.3% in Canada.

Hong Kong, France and Germany have remained in negative territory during the same period.