Sensex drops 500 points, Nifty slips below 22,650 as crude oil tops $107

New Delhi: Equity benchmark indices Sensex and Nifty extended their losses in early trade on Tuesday as elevated crude oil prices, uncertainty over the West Asia conflict and persistent foreign fund outflows weighed on investor sentiment.

The 30-share BSE Sensex dropped 503 points to 72,260.09 in early trade, while the 50-share NSE Nifty fell 151 points to 22,626.50.

Follow The PSUWatch Channel on WhatsApp

Among Sensex stocks, Bajaj Finance, HDFC Bank, Kotak Mahindra Bank, Reliance Industries, Asian Paints and Infosys were among the major laggards.

Sun Pharma, InterGlobe Aviation and Adani Ports were among the gainers.

Brent crude, the global oil benchmark, climbed 1.74 percent to USD 107.1 per barrel amid continuing uncertainty over the West Asia situation and concerns over potential supply disruptions through the Strait of Hormuz.

"Indian equity markets are expected to remain under pressure as elevated crude oil prices and persistent uncertainty over the US-Iran conflict weigh on market sentiment. US President Donald Trump said the US would win the conflict 'very soon', while officials are communicating with mediators seeking to end the conflict. However, significant uncertainty remains around the negotiations, keeping concerns over potential supply disruptions through the Strait of Hormuz elevated," Ponmudi R, CEO of Enrich Money, a SEBI-registered online trading and wealth-tech firm, said.

Follow PSU Watch on LinkedIN

Foreign Institutional Investors (FIIs) sold equities worth Rs 5,353.22 crore on Monday, according to exchange data.

Asian markets were largely lower. South Korea's KOSPI, Japan's Nikkei 225 and Hong Kong's Hang Seng traded in negative territory, while China's Shanghai SSE Composite was marginally higher.

US markets also ended lower on Monday.

The domestic benchmarks had suffered a sharp sell-off in the previous session. On Monday, the Sensex tanked 1,124.02 points, or 1.52 percent, to settle at 72,771.72, its lowest closing level since March 30, 2026.

The Nifty dropped 360.25 points, or 1.56 percent, to close at 22,780.25.

(PSU Watch is India's Business News centre that places the spotlight on PSUs, Bureaucracy, Defence and Public Policy. 👉 Click to join our channel now: PSUWatch WhatsApp Channel. Prefer LinkedIn? Follow PSU Watch on LinkedIN. Click to stay connected on Twitter here and stay updated)