The Sensex closed down 0.9% at 76,755 and the Nifty 50 fell 0.8% to 23,996 as rising crude, Middle East tensions, weak tech and bank shares, and mixed earnings weighed on sentiment.
Indian equities closed lower on Wednesday, extending losses to a third straight session as higher oil prices, Middle East tensions, weakness in technology and bank shares, and caution around earnings hurt risk appetite. The S&P/BSE Sensex fell 0.9% to 76,755 and the NSE Nifty 50 declined 0.8% to 23,996. Brent crude rose to around $92 a barrel, a five-week high, amid concerns over supply disruptions linked to strikes involving the US and Iran and threats by Houthi forces against tankers in the Red Sea. Technology stocks tracked overnight Wall Street weakness, with Infosys down 2% and Tech Mahindra off 1.2%, while higher yields weighed on banks including Axis Bank, down 2%, and ICICI Bank, down 1.5%. Earnings reactions added pressure: Bandhan Bank fell about 14% despite improved profit and asset quality, and MedPlus Health dropped 16.3% after a decline in quarterly profit. Despite the broader market weakness, foreign portfolio investors were net buyers of about 16.5 billion rupees in the previous session, leaving July on course for their first month of net inflows in five months, while domestic institutional investors were net sellers.