Indian equity benchmarks ended sharply lower on Thursday, with the Sensex falling 1.67 per cent and the Nifty 50 declining 1.64 per cent, as rising crude oil prices and weak global cues weighed on investor sentiment.
The Sensex settled at 73,580.54, down 1,247.71 points, while the Nifty 50 closed at 23,063.10, losing 383.70 points. Both indices recorded their steepest single-session declines since July 8.
Selling was broad-based, with financial stocks facing particular pressure amid concerns over proposed changes to insurance commission rules. The rise in US bond yields also added to the pressure on equities.
Crude oil prices remained a major concern for investors, with Brent crude rising 2.4 per cent to around USD 105.6 a barrel during the session. Higher oil prices have raised concerns over inflation and the impact of elevated input costs on the Indian economy.
The decline came a day after the benchmarks had closed higher, with the Sensex gaining 299.17 points and the Nifty advancing 117.80 points on Wednesday.
The market also witnessed the much-awaited listing of National Stock Exchange shares on Thursday. NSE shares closed 1.8 per cent higher on their debut after the exchange’s USD 2.3-billion initial public offering.
The sharp fall in the benchmark indices came amid continued concerns over elevated crude prices, global bond yields and geopolitical developments, keeping investors cautious during the session.
