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Domestic equity markets extend their decline for a third straight session on Wednesday, with the Sensex and Nifty closing at their lowest levels since June 11.
The Sensex fell 813.35 points, or 1.08%, to close at 74,764.23, while the Nifty declined 203.60 points, or 0.86%, to 23,431.50. Both indices closed at their session lows.
Markets Today, September 9: The domestic equity markets extended their decline for a third straight session on Wednesday, with the Sensex and Nifty closing at their lowest levels since June 11 as heavy selling in IT, realty and financial stocks weighed on investor sentiment.
The Sensex fell 813.35 points, or 1.08%, to close at 74,764.23, while the Nifty declined 203.60 points, or 0.86%, to 23,431.50. Both indices closed at their session lows.
The Nifty 50 is down about 5.5% from its recent peak of 24,774.30 (recorded on August 3), while the Sensex has declined over 5% from its recent high.
The sell-off was led by technology stocks. The Nifty IT index plunged 3.24%, making it the worst-performing major sectoral index on Wednesday.
HCLTech, Infosys and Tech Mahindra were among the biggest drags on the benchmarks, while TCS also came under heavy selling pressure. The broader IT and telecom segment also declined, with the Nifty MidSmall IT & Telecom index falling 1.79%.
Selling was not restricted to IT. Nifty Realty fell 2.23%, Nifty Financial Services declined 1.24%, Nifty Private Bank dropped 0.95% and Nifty FMCG lost 0.96%.
The broader market also remained under pressure, although the losses were relatively moderate compared with the headline indices. Nifty 100 declined 0.72%, Nifty 200 fell 0.68% and Nifty 500 slipped 0.64%.
Metal stocks were the notable exception to the broader weakness. The Nifty Metal index jumped 1.79%, making it the day’s best-performing sectoral index.
Most other major sectors ended lower, including auto, pharma, PSU banks, private banks, healthcare and consumer durables.
Crude oil crosses $100 amid West Asia tensions
The pressure on Indian equities intensified as crude oil prices surged above $100 a barrel for the first time in nearly six weeks, raising concerns over India’s inflation outlook, import bill and economic growth.
Brent crude briefly touched $100 a barrel after fresh attacks on oil infrastructure and shipping in West Asia heightened fears of further disruptions to supplies and transportation routes. US crude also climbed to around $94 a barrel.
The latest escalation followed reports of US military action against Iranian tankers and missile attacks, while Iran-backed Houthi militants carried out attacks that triggered fires at oil facilities in Saudi Arabia. The developments have heightened concerns about the security of oil production and shipping routes across the region.
The Strait of Hormuz remains a key focus for traders, with markets closely watching tanker traffic through the waterway and assessing the risk of a larger supply disruption. Any prolonged disruption to oil production, storage or transportation could put further upward pressure on crude prices.
For India, which relies heavily on imported crude, a sustained rise in oil prices could worsen the trade deficit, put pressure on inflation and the rupee, and weigh on corporate profitability and economic growth.
Volatility rises
The rise in geopolitical risks was also reflected in market volatility. India VIX climbed 6.32% to 11.94, signalling increased caution among investors.
With crude prices back above $100 and geopolitical tensions showing no signs of easing, investors are likely to remain focused on developments in West Asia, movements in oil prices and their potential impact on India’s macroeconomic outlook.
What Experts Say
Vinod Nair, head of research at Geojit Investments, said, “Markets are increasingly pricing in a prolonged Middle East conflict, with continued hostilities and retaliatory actions expected to keep crude oil prices elevated in the near term. Persistent geopolitical uncertainty is making it difficult for major central banks to achieve a balance between growth and inflation, while higher energy costs pose risks to both economic activity and price stability.”
He added that with bond yields and currencies remaining volatile, investors are likely to adopt a cautious stance, limiting risk appetite and keeping market sentiment subdued.
Ponmudi R, CEO of Enrich Money, a Sebi-registered online trading and wealth tech firm, said, “Indian equity markets extended their decline for a third consecutive session, with benchmark indices ending firmly lower as persistent selling pressure and a broad risk-off mood kept sentiment subdued. Elevated crude oil prices, lingering geopolitical tensions and a sharp rise in market volatility continued to weigh on investor confidence, reinforcing the market’s prevailing bearish undertone. India VIX climbed more than 6%, reflecting increased hedging activity and growing caution over the near-term outlook.”
He added that the IT sector emerged as the session’s biggest laggard, falling more than 3% as investors reassessed the long-term implications of rapid advances in artificial intelligence for the software industry. OpenAI’s launch of GPT-6 Astra reignited concerns that increasingly capable AI models could encroach on functions traditionally performed by specialized software companies, prompting renewed selling across technology stocks.
Quick Answers
Ask News18Indian equity markets, including the Sensex and Nifty, closed at their lowest levels since June 11 on September 9, 2026, due to heavy selling in IT, realty, and financial stocks. This decline was exacerbated by crude oil prices surging above $100 a barrel, raising concerns about inflation and India’s economic outlook.
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Haris is Deputy News Editor (Business) at news18.com. He writes on various issues related to personal finance, markets, economy and companies. Having over a decade of experience in financial journalis…Read More
September 09, 2026, 4:03 PM IST
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