Bears attack! Sensex, Nifty see biggest single-day fall since June 2024 crash

Rising crude prices negatively impact oil-importing sectors and can fuel inflation, potentially leading to tighter monetary policy. Hawkish US Fed commentary often strengthens the dollar and can lead to FII outflows from emerging markets like India.

• •Sensex and Nifty plunged over 3% on Thursday, marking the biggest single-day fall since June 2024.
• •The selloff was triggered by soaring crude prices and hawkish US Federal Reserve commentary.
• •Over Rs 11.5 lakh crore in market capitalisation was wiped out.
• •The decline mirrored the post-election panic, though markets historically show resilience.
• •Risk flag: Further escalation in crude oil prices