Sensex, Nifty Fall 0.7% On Thursday To Reverse Wednesday’s Gains Amid Crude Pressure, Rupee Decline

Domestic equity indices on Thursday closed in the red as crude oil prices and the rupee’s decline rattled investors.

The benchmark Sensex closed at 76,913 with a loss of 0.75 percent, or 582 points, while Nifty was lower by 0.74 percent to close 180 points below Wednesday’s close.

Out of almost 3,394 stocks traded on the National Stock Exchange, over 58 percent (1,976 stocks) ended lower than their previous close.

The decline in the indices came after a day of decent gains on Wednesday. Today’s losses have wiped off the gains during Wednesday’s trade, when Sensex had closed higher by 600 points while Nifty had ended 181 points higher.

The sell-off was seen across sectors. The benchmarks opened in the morning with losses of around 0.5 percent. The sell-off was further extended as reports emerged of United States President Donald Trump considering a prolonged closure of the Strait of Hormuz.

The development sent crude oil to its record highs in recent years, with the global oil benchmark Brent Crude surging up to the $126 per barrel mark before coming down to $121 per barrel. The pressure was compounded as the rupee hit its all-time low against the dollar at 95.20.

Towards noon, Sensex was trading over 1.6 percent lower, while the stocks of aviation and oil marketing companies were leading the losers’ chart on the National Stock Exchange.

Out of the 19 sectoral indices, only four ended in the green with negligible gains, while the remaining 15 ended after shedding over 2 percent.

Nifty Metal was the worst performer among the sectoral indices, declining about 2.1 percent. It was followed by Nifty PSU Bank, which declined 1.6 percent, and Nifty Consumer Durables, which slipped 1.5 percent.

Among the 50 stocks on the NSE, Tata Motors Passenger Vehicles ended with the deepest cut of 2.92 percent, followed by food delivery platform Eternal. Metal stocks like JSW Steel, Tata Steel, and Hindalco dominated the losers’ tally.