Sensex falls over 1,300 pts over failed peace deal

Stock markets fell for the third day running on Monday, with the benchmark Sensex tumbling 1,313 points amid rising crude oil prices after the US and Iran failed to reach a peace deal to end the war in West Asia.

The 30-share BSE Sensex tanked 1,312.91 points, or 1.70 per cent, to settle at 76,015.28. During the day, it tumbled 1,370.79 points or 1.77 per cent to 75,957.40.

The 50-share NSE Nifty dropped 360.30 points or 1.49 per cent to end at 23,815.85. In three sessions since Thursday, Nifty dropped over 2 per cent or 515 points, while Sensex has fallen by nearly 1,950 points or 2.5 per cent.

US President Donald Trump dismissed Iran’s response to the latest peace proposal as ‘totally unacceptable’, dampening hopes of an immediate diplomatic breakthrough, an expert said. Also, Prime Minister Narendra Modi’s appeal for austerity measures amplified investor concerns around forex reserves, fuel costs, and consumption outlook, analysts said.

Among the 30 Sensex firms, Titan was the biggest loser, dropping by nearly 7 per cent. InterGlobe Aviation, State Bank of India, Bharti Airtel, Eternal and Reliance Industries were among the major laggards.

Sun Pharma, Hindustan Unilever, Adani Ports, Kotak Mahindra Bank, Axis Bank and ICICI Bank were the winners.

Brent crude, the global oil benchmark, traded 2.23 per cent higher at USD 103.5 per barrel. “The Indian equity markets witnessed a sharp sell-off session today, with benchmark indices correcting more than 1.4 per cent amid rising geopolitical concerns and heightened fears over inflationary pressures.