Indian equity markets witnessed a sharp sell-off on Tuesday, with the Sensex falling over 1,300 points in intraday trade and the Nifty slipping below the 23,600 mark. The downturn extended losses for the fourth straight session, wiping out nearly ₹11 lakh crore in investor wealth over the period.
The market weakness was driven by a mix of global and domestic pressures, including rising crude oil prices, a weakening rupee, geopolitical tensions, and sustained foreign institutional investor (FII) selling. Higher oil prices have raised concerns over inflation and increased costs for companies, while currency depreciation added further pressure on sentiment.
Heavyweight stocks led the decline. Major losers included Infosys, TCS, HDFC Bank, ICICI Bank, and Tata Motors, all of which saw strong selling pressure. Banking, IT, auto, and financial stocks were among the worst-hit sectors, reflecting broad-based risk aversion among investors.
In contrast, defensive stocks provided limited support to the market. Shares of Sun Pharma, ITC, and Hindustan Unilever saw some buying interest, helping cushion the fall slightly, though not enough to reverse the overall negative trend.
Market analysts said the correction is largely driven by external factors rather than company-specific earnings weakness. Rising crude oil prices, triggered by global supply concerns and geopolitical tensions, have heightened fears of inflation and margin pressure for Indian companies.
Foreign investor outflows have also intensified the sell-off, as global funds continue to reduce exposure to emerging markets amid uncertainty and stronger safe-haven demand.
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