Sensex tanks 715 pts, Nifty slips below 24,000 as oil surge, bank stocks weigh

Benchmark equity indices extended their losing streak to a third straight session on Wednesday, with the Sensex falling over 700 points and the Nifty slipping below the 24,000 mark, as a sharp surge in crude oil prices, persistent geopolitical tensions in West Asia and selling in banking shares dented investor sentiment.

The BSE Sensex declined 715.06 points, or 0.92%, to close at 76,755.05, while the NSE Nifty50 fell 191.45 points, or 0.79%, to settle at 23,996.25. The Nifty Bank dropped 709 points to 57,127, while the Nifty Midcap 100 index shed 687 points to end at 62,301.

Market breadth remained firmly negative, with declining stocks outnumbering advancing shares by roughly 2:5, indicating broad-based selling across sectors.

Banks, IT drag benchmark indices

Heavyweight banking and IT stocks led the decline, with IndiGo, Infosys, State Bank of India, UltraTech Cement, ICICI Bank and Axis Bank among the biggest drags on the Sensex. On the other hand, Hindustan Unilever, NTPC, Power Grid and Titan bucked the trend to close higher.

The sell-off came after Brent crude surged nearly 5% to around $95 per barrel, fuelling concerns over inflation and India's import bill amid continuing tensions in West Asia.

"Indian equities closed lower as a sharp rise in crude oil prices and persistent geopolitical tensions in the Middle East kept investors firmly in risk-off mode. The benchmark indices faced sustained selling pressure throughout the session, with broad-based declines across most sectors overshadowing an otherwise encouraging start to the first-quarter earnings season," said Ponmudi R, CEO, Enrich Money.

He added that higher crude oil prices and renewed concerns over potential US tariffs on pharmaceutical imports weighed on investor sentiment.

Earnings reactions dominate stock-specific action

Among earnings-driven movers, Bandhan Bank slumped 17% after reporting a mixed June quarter and lowering its return on assets (RoA) guidance.

Eternal Ltd. recovered from sharp intraday losses to end 1.01% higher after the company reported a mixed set of June-quarter earnings. While net profit declined sequentially due to a higher tax outgo, investors took comfort from robust growth in Blinkit and positive management commentary on food delivery and quick commerce.

Adani Green Energy and Adani Power fell 2-3% after their quarterly results, while BPCL slipped over 2% after reporting a quarterly loss. Shares of other oil marketing companies also ended lower.

SRF declined more than 3% despite posting better-than-expected June-quarter earnings, while Tips Music plunged 12% after deferring its proposed share buyback.

In contrast, Nestlé India climbed 3% after delivering all-round earnings beat, while TVS Motor and Bajaj Auto gained on the back of strong quarterly performance and upbeat management commentary. Kalyan Jewellers extended its recent rally, ending the session higher and taking its gains for the month to about 54%.

Asian markets ended on a mixed note, with South Korea's Kospi and China's Shanghai Composite closing higher, while Japan's Nikkei 225 and Hong Kong's Hang Seng settled lower. European markets traded in positive territory in afternoon trade, while Wall Street had closed higher overnight.