Investors' wealth slumped over Rs 8.77 lakh crore on Monday as concerns over surging COVID-19 cases in the country roiled the equity market.

The 30-share BSE benchmark index plunged 1,707.94 points or 3.44 per cent to close at 47,883.38. During the day, it nosedived 1,897.88 points to 47,693.44.

Tracking losses in equities, the market capitalisation of BSE-listed companies eroded by Rs 8,77,435.5 crore to Rs 2,00,85,806.37 crore. IndusInd Bank was the biggest loser among the Sensex companies, declining 8.60 per cent, followed by Bajaj Finance, SBI, ONGC, Titan, M&M and Axis Bank.

Binod Modi, Head Strategy at Reliance Securities, said domestic equities today reminded the blood bath of March 2020 as record rise in COVID-19 cases in the country and possibility of lockdowns in several states dented investors' sentiments.

''Markets started the week on a feeble note and lost over three and a half per cent. The benchmark indices continued to plunge southwards due to rising COVID-19 cases, and the possibility of lockdown in various parts of the country. Selling pressure widened as the day progressed,'' Ajit Mishra, VP – Research at Religare Broking Ltd, said.

All BSE sectoral indices closed with losses. Realty index declined 7.70 per cent, followed by industrials, metal, auto, power, finance. In the broader market, the BSE midcap and smallcap indices tumbled up to 5.32 per cent.

On the BSE, shares of 2,477 companies closed in the red while 510 advanced and 174 remained unchanged.