Benchmark stock index Sensex tanked 1,045 points while Nifty slid to near 22,230 level on Thursday (October 8, 2026) following heavy selling in rate-sensitive, commodities and FMCG shares amid a sharp spike in crude oil prices and growing prospect of tighter domestic and global monetary conditions.

Falling for the second day running, the 30-share BSE Sensex tumbled 1,045.46 points, or 1.44%, to settle at 71,593.24. During the day, it slumped 1,310.95 points, or 1.80%, to 71,327.75.

The 50-share NSE Nifty dropped 371.25 points, or 1.64%, to end at 22,231.80. Nifty hit its 52-week low of 22,179.90 in intra-day trade.

From the 30 Sensex firms, ITC, InterGlobe Aviation, Power Grid, Bharat Electronics, Adani Ports and NTPC were among the major laggards.

Tech Mahindra, Axis Bank and Infosys were the winners.

Brent crude, the global oil benchmark, jumped 4.25% to $104.5 per barrel.

Foreign Institutional Investors (FIIs) offloaded equities worth ₹6,121.37 crore on Wednesday (October 7, 2026), according to exchange data.

The Reserve Bank of India raised its benchmark repo rate by 25 basis points to 5.50% on Wednesday (October 7, 2026), its first hike in nearly four years, while signalling that rate cuts are off the table in the near term and that further hikes could follow amid rising inflation, a weak rupee and high crude oil prices.

The six-member Monetary Policy Committee (MPC) of the RBI voted unanimously to raise the repo rate, and sprang a surprise with a shift in policy stance to “calibrated tightening” from “neutral”.

“The domestic market continued in its sharp sell-off mode as the ripple effects of hawkish RBI policy weighed on rate-sensitive sectors, effectively resetting near-term valuation multiples. This headwind was further amplified by persistent FII outflows, harder bond yields, and a depreciating INR,” Vinod Nair, Head of Research, Geojit Investments Limited, said.

Moreover, volatile crude oil prices hovering stubbornly above the $100 mark continue to be a hurdle for the national economy, he added.

In Asian markets, South Korea’s Kospi, Japan’s Nikkei 225 index, Shanghai’s SSE Composite index and Hang Seng index ended significantly lower.

European markets were quoting in negative territory. U.S. markets ended lower on Wednesday (October 7, 2026).

On Wednesday (October 7, 2026), the Sensex fell 429.11 points, or 0.59%, to settle at 72,638.70. The Nifty declined 173.05 points, or 0.76%, to end at 22,603.05.

Benchmark indices Sensex and Nifty rose for the second day on Wednesday (September 17, 2025) on buying in IT, banking, and auto shares by investors enthused by positive day-long discussions with the visiting U.S. team on a bilateral trade deal.

The 30-share BSE Sensex edged higher by 313.02 points or 0.38% to settle at 82,693.71. During the day, it jumped 361.26 points or 0.43% to 82,741.95.

The 50-share NSE Nifty climbed 91.15 points or 0.36% to 25,330.25.

Growing expectations of a rate cut by the U.S. Federal Reserve and positive U.S.-India discussions on a proposed trade deal helped stock markets extend their rally, analysts said.

Among Sensex firms, State Bank of India, Bharat Electronics, Kotak Mahindra Bank, Maruti, Trent and UltraTech Cement were the major gainers.

However, Bajaj Finserv, Titan, ITC and Tata Steel were among the laggards.

The day-long discussions with the visiting U.S. team on a bilateral trade deal were positive, and both sides agreed to push for an early and mutually beneficial conclusion of the agreement, the Commerce Ministry said on Tuesday (September 16, 2025).

“It was decided to intensify efforts to achieve early conclusion of a mutually beneficial trade agreement,” the Ministry said in a statement after a day-long meeting with the U.S. officials.

In Asian markets, Shanghai’s SSE Composite index and Hong Kong’s Hang Seng settled in positive territory while South Korea’s Kospi and Japan’s Nikkei 225 index ended lower.

Markets in Europe were trading mostly higher. U.S. markets ended lower on Tuesday.

Global oil benchmark Brent crude declined 0.58% to $68.07 a barrel.

Foreign Institutional Investors (FIIs) turned buyers on Tuesday. They bought equities worth ₹308.32 crore, according to exchange data.

On Tuesday, the Sensex jumped 594.95 points or 0.73% to settle at 82,380.69. The Nifty climbed 169.90 points or 0.68% to 25,239.10.