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Benchmark equity indices Sensex and Nifty tumbled nearly 1 per cent , snapping a three-day gaining streak due to heavy selling in IT stocks and an uptick in crude oil prices.
The 30-share BSE Sensex tanked 756.84 points or 0.95 per cent to settle at 78,516.49. During the day, it slumped 831.03 points or 1.04 per cent to 78,442.30.
The 50-share NSE Nifty dropped 198.50 points or 0.81 per cent to end at 24,378.10. Foreign fund outflows and fears of prolonged instability in West Asia also dented market sentiment.
Among 30-Sensex firms, HCL Tech tumbled the most by 10.85 per cent after its March quarter earnings failed to cheer investors.
Falling for the third straight session, the rupee declined 34 paise to close at 93.78 against the US dollar as uncertainty over US-Iran peace talks eroded hopes of easing West Asia tensions and set crude oil prices on fire.
Intense selling in domestic equity markets and sustained outflow of foreign capital also weighed on the domestic currency, forex traders said. Uncertainty over US-Iran peace talks and fresh attacks in the Strait of Hormuz have driven up crude oil prices, impacting the rupee.Intense selling in domestic equity markets and sustained foreign capital outflow further weighed on the Indian currency. Analysts predict the rupee will trade with a negative bias, with the USD-INR spot price expected to range between Rs 93.60 and Rs 94.20. US President Donald Trump’s threat to resume bombing Iran if a peace agreement isn’t reached has heightened geopolitical uncertainty.
