Sensex slips by over 495 points as investors weigh oil prices

Mumbai: Market benchmark Sensex Monday nosedived 495 points to end at 38,645 owing to intense sell-offs in energy and financial stocks as investors weighed soaring crude oil prices and a mixed start of the corporate earnings season.

The broader NSE Nifty too shed over 158 points to close at 11,594.

Market sentiment was hit as macroeconomic worries resurfaced following reports that the US will end sanctions waiver on Iranian oil imports. Soaring crude prices at a six-month high level led to massive sell-offs on bourses.

Besides, the weakening rupee and a caution ahead of some key corporate results also played in the minds of investors.

Rising crude prices are negative for oil importing countries like India as higher prices lead to widening of fiscal deficit and put the currency under pressure.

The 30-share BSE index settled 495.10 points, or 1.26 per cent, lower at 38,645.18; while the broader NSE Nifty tumbled 158.35 points, or 1.35 per cent, to close at 11,594.45.

Sensex heavyweight Reliance Industries fell 2.76 per cent. In percentage terms, major laggards were Yes Bank, Indusind Bank, RIL, ICICI Bank, HDFC and Axis Bank — plunging as much as 6.62 per cent.