The equity markets fell sharply on Thursday, 19 February 2026, erasing nearly ₹8 lakh crore in investor wealth as widespread selling pressure dominated trading. The BSE Sensex plunged 1,236 points to 82,498, while the Nifty 50 slipped below 25,500, ending at 25,454, breaking a three-day rally.
Analysts attributed the sell-off to a combination of global and domestic factors. Escalating US-Iran tensions sparked fears of potential military action this weekend, driving investors away from emerging markets like India into safer assets. Meanwhile, Brent crude surged above $70 per barrel on concerns over Middle East supply bottlenecks, intensifying inflation worries and pressuring the Indian Rupee.
Investors also engaged in profit booking after the Sensex and Nifty had recorded gains over three consecutive sessions, particularly following major domestic events such as the Union Budget and RBI policy announcements. Adding to the pressure, uncertainty over US Federal Reserve policy and a “higher-for-longer” interest rate outlook strengthened the US Dollar, prompting Foreign Institutional Investors (FIIs) to reduce exposure to Indian markets.
Local technical factors compounded the decline, including a clearing holiday in India for Chhatrapati Shivaji Maharaj Jayanti that limited liquidity, as well as thin foreign participation due to Lunar New Year closures in key Asian markets.
Among the top gainers, Dr Reddy’s Laboratories Ltd and HDFC Life Insurance Co Ltd rose over 5 %, along with modest gains in Wipro Ltd. On the other hand, Trent Ltd, Adani Enterprises Ltd and InterGlobe Aviation Ltd fell 1–2 %, while Mahindra & Mahindra Ltd, Asian Paints Ltd and Jio Financial Services Ltd also ended lower, dragging the broader market down.