FX.co ★ Sensex Decline as Oil Rises

India’s BSE Sensex fell about 0.6%, or 460 points, to 75,125 on Wednesday, extending its decline amid rising crude oil prices and escalating tensions in the Middle East. The Nifty 50 also slipped as investors grew increasingly wary that higher energy costs could stoke inflation, widen India’s trade deficit, and weigh on economic growth.

Brent crude advanced toward $100 a barrel, while the rupee remained under pressure, trading close to 95 per US dollar. Persistent selling by foreign investors in Indian equities added to the downward pressure on the market.

IT shares led the decline, with Infosys, HCLTech, and Tech Mahindra among the notable losers. Coforge was a major stock in focus, tumbling more than 5% after Chairman Om Prakash Bhatt resigned, following concerns raised by an internal audit over the company’s board evaluation process.

Other significant laggards included ICICI Bank (-0.7%), BSE Ltd. (-3.0%), IFCI Ltd. (-3.6%), HDFC Bank (-0.8%), and Reliance Industries (-0.6%).