Now Reading: Sensex, Nifty fall as crude oil surges to $90
-
01
Sensex, Nifty fall as crude oil surges to $90
Indian benchmark indices opened lower on Wednesday as Brent crude climbed 1.24 per cent to $90.01 a barrel, stoking inflation fears. The BSE Sensex fell 35.99 points to 78,097.31 in early trade,…
The Story in Brief
Indian benchmark indices opened lower on Wednesday as Brent crude climbed 1.24 per cent to $90.01 a barrel, stoking inflation fears. The BSE Sensex fell 35.99 points to 78,097.31 in early trade, while the NSE Nifty slipped 31.15 points to 24,444.55. Losses later deepened, with the Sensex dropping 211 points and the Nifty down 65 points.
Geopolitical tensions, including ongoing US-Iran skirmishes and a stalemate over the Strait of Hormuz reopening, are pushing oil prices higher, reports PTI. Major laggards included Bharti Airtel, M&M, and Adani Ports. Despite the downturn, FIIs remained net buyers, purchasing equities worth Rs 258.55 crore on Tuesday. US markets also ended lower overnight.
The Indian Opinion
The oil spike narrative is convenient but incomplete. While the US-Iran skirmish and the Strait of Hormuz stalemate get the blame, the real test will come if Brent stays above $90 for two weeks, then the market's patience with FII buying will crack, and retail sentiment will shift. Will the RBI step in if crude crosses $95? That number will settle whether this is a blip or a trend.
Source: rediff.com
This story was synthesised by AI from the source linked above.
