Stock markets: Sensex, Nifty crash as crude prices soar
Mumbai, March 7, 2022
India's key indices -- S&P BSE Sensex and NSE Nifty50 -- fell sharply during the opening session on Monday amid skyrocketing crude oil prices.
Notably, the Ukraine crisis pushed Brent crude oil price to $130 a barrel on Monday.
The trend is expected to trigger an inflationary trend and ultimately a reversal in monetary policy stand.
Besides, it has accelerated FIIs' selling in the Indian equity market.
Consequently, at 10 a.m., the Sensex was 2.79 per cent or 1,515.98 points down at 52,817.83 points from its previous close.
The Nifty traded lower by 2.83 per cent or 459.95 points down at 15,785.40 points.
"On Monday, Indian markets fell for the third day in a row amid rising geopolitical tensions after Ukrainian officials announced Russian forces had taken control of the Zaporizhzhia nuclear power station," said Likhita Chepa, Senior Research Analyst, CapitalVia Global Resaerch.
"Brent Crude rose above $130 per barrel in early trade, the most since 2008, amid heightened geopolitical tensions, and markets began with a gap-down today."