The BSE Sensex and NSE’s Nifty 50 plunged over 2% as crude oil prices surged and in anticipation of a rate hike by the US Federal Reserve. The Sensex closed 806.47 points, or 2.24%, lower at 35,169.16, while the Nifty50 fell 259 points, or 2.39%, to close at 10,599.25. In intraday trade, the Sensex plunged 953 points and the Nifty 50 tanked 311 points.
Shares of oil marketing companies—HPCL, BPCL and Indian Oil—fell between 10% to 12% after finance minister Arun Jaitley asked the companies to absorb Rs 1 cut on fuel prices. ICICI Bank shares rose over 4% after the bank disclosed that Chanda Kochhar stepped down as CEO and MD of the bank.
Oil prices eased from four-year highs after reports that Russia and Saudi Arabia struck a private deal in September to raise crude output.
The rupee opened at an all-time low of 73.68 a dollar, down 0.46% from its Wednesday’s close of 73.34 and touched a fresh low of 73.77.