The Sensex fell 555.23 points, or 0.73 percent, to close at 75,577.58 on Tuesday, while the Nifty50 dropped 144.05 points, or 0.61 percent, to settle at 23,635.10.
It was the second consecutive session of losses for both benchmark indices, following Monday’s decline that was linked to rising crude oil prices and US-Iran tensions.
SBI Life Insurance Company, ICICI Bank and Axis Bank were among the top losers on the Nifty50 during Tuesday’s trade.
The broader market moved differently from the benchmarks, with the Nifty MidCap up 0.21 percent and the Nifty SmallCap up 0.17 percent even as large-cap indices declined.
Market watchers pointed to continued pressure from crude oil prices and geopolitical uncertainty as the key drivers behind the day’s losses.
Tuesday marked the second straight session of losses for the Sensex, following Monday’s 382-point decline that was also attributed to crude oil prices and Gulf tensions.
SBI Life Insurance Company, ICICI Bank and Axis Bank were among the top losers on the Nifty50 index during Tuesday’s session.
The broader markets showed a different pattern than the benchmark indices, with the Nifty MidCap rising 0.21 percent and the Nifty SmallCap rising 0.17 percent even as the Sensex and Nifty fell.
Rising crude oil prices directly affect India’s economy given the country’s heavy dependence on imported oil, which widens the trade deficit and pressures the rupee when prices climb.
TCS was among the IT stocks under pressure during Tuesday’s trade, as the sector remained sensitive to signals on US interest-rate policy.
The BSE Sensex and NSE Nifty are the two primary benchmark indices used to track the overall health of the Indian stock market, comprising the country’s largest listed companies by market capitalisation.
Foreign institutional investor selling has been a recurring theme in recent sessions, adding to the pressure from oil prices and geopolitical uncertainty.
National Stock Exchange building, Mumbai, Wikimedia Commons, CC BY-SA 4.0
