Crude Above $107 Adds To Market Jitters, Sensex Plunges 1,124 Points As Nifty Drops 1.56% And PSU Banks Sink

Mumbai: Indian stock markets closed sharply lower on Monday as surging crude oil prices, elevated US bond yields and a weaker rupee sparked broad selling across sectors. PSU banks led the decline, while only two Nifty 50 stocks finished higher.

The Nifty 50 fell 360.25 points, or 1.56%, to 22,780.25. The BSE Sensex dropped 1,124.02 points, or 1.52%, to close at 72,771.72.

Selling spread beyond banking. The Nifty PSU Bank index plunged more than 3.20%, while Realty lost 2.32%. Oil and Gas declined 1.97%, Metal shed 1.90%, Auto fell 1.74% and FMCG slipped 1.38%. IT dipped 0.09%.

Among Nifty stocks, Dr Reddy’s Laboratories and Infosys were the only gainers. Jio Finance, Adani Enterprises, TMPV, Tata Consumer Products and Bajaj Auto featured among the biggest losers.

Crude Adds to Inflation Fears

Brent crude jumped more than 3% to $107.88 a barrel at the time of reporting. Higher oil prices raise India’s import bill and can intensify pressure on inflation and the rupee.

Vikram Kasat of PL Capital said the sell-off reflected a combination of global pressures. Brent above $106, US 10-year Treasury yields near 5.2% and the rupee approaching ₹96 per dollar had sharpened concerns about import costs and foreign fund flows, he said.

Kasat warned that sustained strength in crude or further foreign investor selling could prolong volatility. An easing in geopolitical tensions, oil prices or bond yields could help markets stabilise.

Ventura’s N S Ramaswamy placed immediate Brent resistance at $108–109. A sustained rise beyond that range could take prices towards $112 and $115.

Metals Fall, Asian Markets Mixed

Gold was down more than 2.5% at ₹1,47,100 per 10 grams, while silver declined 3.25% to ₹2,26,988 per kg at the time of reporting.

Japan’s Nikkei fell 0.20% and South Korea’s KOSPI lost 2.77%. Singapore’s Straits Times gained 0.31%, while Hong Kong’s Hang Seng rose 0.47%.