Sensex Crashes 600 Points at Open as IT Stocks Tumble, Crude Oil Surges Past $115

Sensex Drops Below 73,000 as IT Stocks Slide, Crude Oil Surges and Investors Await Fed Decision

Indian equity markets opened lower on Wednesday as selling pressure in information technology stocks and rising crude oil prices weighed on investor sentiment. The cautious mood was further reinforced by uncertainty ahead of the US Federal Reserve’s monetary policy announcement.

The BSE Sensex declined 601.14 points to 72,997.55 in early trading, slipping below the psychologically important 73,000 mark. Meanwhile, the NSE Nifty fell 146 points to 22,604.80 as investors assessed global developments and their potential impact on domestic markets.

IT Stocks Lead the Decline
Information technology shares came under significant pressure during the morning session. Infosys, HCL Technologies, Tech Mahindra and Tata Consultancy Services were among the major Sensex losers. ITC and Asian Paints also traded lower, adding to the weakness in the benchmark index.

However, the broader selling trend was not uniform. Larsen & Toubro (L&T) rallied more than 4% after reporting a 32.5% year-on-year increase in consolidated net profit to ₹5,202.10 crore for the quarter ended September 2026. Stronger revenue supported the company’s quarterly performance.

Shares of State Bank of India and Axis Bank also recorded gains, offering some support amid the broader market decline.

Crude Oil Above $115 Raises Economic Concerns
The sharp rise in crude oil prices remained a major concern for domestic investors, given India’s dependence on imported energy. Brent crude climbed above $115 per barrel, raising concerns about inflation, import costs and the country’s broader economic outlook.

V K Vijayakumar, Chief Investment Strategist at Geojit Investments Limited, pointed to the possibility of renewed US strikes against Iran following the American midterm elections as a factor contributing to uncertainty in energy markets.

He said the market’s attention would also be on the listing of Jio Platforms.
Elevated crude prices can put pressure on India’s import bill and corporate margins, while potentially complicating the outlook for inflation and interest rates. These concerns have added to investor caution amid geopolitical uncertainty.

Investors Await US Federal Reserve Decision
Market participants also remained watchful ahead of the US Federal Reserve’s policy announcement, assessing the potential implications for global liquidity, interest rates and foreign investment flows into emerging markets.

Ponmudi R, CEO of online trading and wealth-tech firm Enrich Money, said Indian equities were likely to remain cautious as investors monitored the Fed’s decision alongside movements in global markets and energy prices.

He noted that West Texas Intermediate (WTI) crude was trading around $100–101 per barrel, keeping concerns about sustained cost pressures and the broader economic outlook in focus.

The differing price levels for Brent and WTI reflect the fact that they are separate crude oil benchmarks.

Foreign Investors Continue to Buy Indian Equities
Despite the weakness in domestic benchmarks, foreign institutional investors (FIIs) remained net buyers of Indian equities in the previous session. According to exchange data, they purchased shares worth ₹4,240.39 crore on Tuesday.

The inflows provided a positive signal amid broader uncertainty, although investors continued to assess geopolitical developments, energy prices and the outlook for global monetary policy.

Asian Markets Trade Higher
Indian equities moved against a broadly positive trend across several Asian markets. South Korea’s Kospi surged 6.11%, while Japan’s Nikkei 225, China’s Shanghai Composite and Hong Kong’s Hang Seng also traded in positive territory.

US stock markets had closed higher on Tuesday, providing a relatively supportive global backdrop. However, domestic concerns surrounding crude oil and the upcoming Federal Reserve decision continued to weigh on sentiment in India.

Sensex and Nifty Ended Nearly Flat in Previous Session
In the previous trading session, Indian benchmark indices finished almost unchanged. The Sensex slipped 8.08 points, or 0.01%, to close at 73,598.67, while the Nifty declined 3.45 points, or 0.02%, to settle at 22,749.75.

Wednesday’s early decline marked a sharper move lower as investors reacted to rising energy prices and weakness in technology stocks.

Going forward, market direction is likely to depend on developments in crude oil prices, geopolitical tensions, the Federal Reserve’s policy decision and stock-specific triggers, including the Jio Platforms listing.