Markets tank on macro risks; oil spurt sinks energy stocks
Mumbai: The Sensex plunged 273 points while the NSE Nifty finished below the 10,700-mark on Wednesday as firming crude oil prices and a weak rupee hammered risk appetite amid an already uncertain global environment.
The BSE oil and gas index was the worst performer among sectoral peers, sinking 3.81 per cent, after Brent crude oil rates crossed $76 a barrel on supply disruptions and US attempts to curb Iranian shipments. The 30-share Sensex opened in the green and hit a high of 35,618.85, but soon turned lower on widespread selling. It finally ended at 35,217.11, down 272.93 points, or 0.77 per cent.
This is its lowest closing since June 6, when it had settled at 35,178.88.
The wider NSE Nifty touched a low of 10,652.40 before finishing at 10,671.40, showing a loss of 97.75 points, or 0.91 per cent.
Sentiment took another hit after the RBI, in its Financial Stability Report (FSR) on Tuesday, said the banking sector's NPA situation is likely to worsen further.
State-run lenders came under heavy selling pressure, with PNB, Bank of Baroda, SBI, Syndicate Bank, Oriental Bank of Commerce and Union Bank of India falling up to 6.61 per cent.