Investors Lose Over ₹6 Lakh Crore As Sensex Crashes Over 769 Points, Foreign Selling & Weak Earnings Rattle Markets

Mumbai: Indian equity markets ended sharply lower on Friday, wiping out early gains and shaking investor confidence. The Sensex plunged over 769 points, while the Nifty50 slipped below the 25,050 mark, showing how fragile market sentiment remains.

The Sensex opened higher at 82,335 and climbed to a day’s high of 82,516, but the rally did not last long. Heavy selling emerged at higher levels, pulling the index deep into the red. The sharp fall came just a day after markets had snapped a three-session losing streak.

Reflecting the damage, investors lost around Rs 6.4 lakh crore in market value, with the total market capitalisation of BSE-listed companies falling to about Rs 452 lakh crore.

Relentless foreign selling weighs on sentiment

Continued selling by foreign investors remained the biggest reason behind the market fall. Foreign Institutional Investors (FIIs) sold shares worth about Rs 2,550 crore on Thursday, marking the 13th straight session of net selling in January. FIIs have been net buyers only once so far this month.

Market experts said the pattern seen in 2025 — foreign selling and domestic buying-has continued into 2026. According to Dr. V K Vijayakumar of Geojit Investments, FIIs are unlikely to turn buyers unless corporate earnings improve meaningfully or the Union Budget offers strong market-friendly measures.

Rupee hits fresh record low

Pressure on equities increased as the Indian rupee slipped to a new record low against the US dollar. The currency weakened to around 91.77 per dollar, falling nearly 0.2 percent during the day.

The decline was driven by strong dollar demand from importers and concerns over capital outflows. A weaker rupee often hurts investor confidence as it raises worries about inflation and external stability.

Weak Q3 earnings hurt heavyweight stocks

A disappointing December-quarter earnings season further dampened sentiment. Shares of InterGlobe Aviation, which operates IndiGo, fell nearly 4 percent after the airline reported a steep 78 percent fall in Q3 net profit.

Pharma major Cipla also came under pressure, with its stock sliding about 5 percent after reporting a 57 percent year-on-year drop in net profit. These results added to fears that earnings recovery across sectors remains uneven.

Crude oil rebound adds pressure

Rising crude oil prices capped any recovery in markets. Oil prices moved higher after renewed geopolitical tensions involving Iran. Brent crude rose to around $64 a barrel, while US crude climbed close to $60 a barrel.

Higher oil prices are negative for India as they can widen the trade deficit and increase inflation, both of which weigh on equities.

Adani group stocks slide sharply

Selling intensified in Adani group stocks, dragging the broader market lower. Shares of Adani Green, Adani Enterprises, Adani Energy and Adani Ports fell up to 11 percent after reports that the US SEC sought court permission to directly serve summons to Gautam Adani and Sagar Adani.

The group’s combined market value dropped by about Rs 1.1 lakh crore during the session.

Disclaimer: This article is for informational purposes only and does not constitute investment advice. Stock market investments are subject to risks. Readers should consult financial advisors before making investment decisions.