Archive · 25 Sep 2026
Crude Oil, Bond Yields Drive Sharp Dalal Street Selloff
Indian stock markets had a very difficult day on Thursday.
The Sensex and Nifty both fell by more than 1.5%.
Many shares, especially banks, financial companies, metal firms, automobile companies and oil-related stocks, lost value.
Investors were worried because oil became more expensive.
They were also concerned that high US bond yields could make borrowing more costly around the world.
A proposed rule change by India’s insurance regulator added pressure to financial and insurance shares.
The proposal could reduce some commissions and distribution expenses.
Shares of several insurers and financial platforms fell sharply.
Overall, far more stocks declined than advanced on the Bombay Stock Exchange.
The BSE Sensex fell 1,247.71 points, or 1.67%, to 73,580.54, its lowest close since June 8.
The NSE Nifty dropped 383.70 points, or 1.64%, to 23,063.10, a more than five-month low.
Financial, metal, auto and oil shares led the broad-based selloff, with 47 Nifty constituents declining.
Investors reacted to surging crude prices, rising US Treasury yields and proposed insurance-distribution rule changes.
Brent crude rose 2.36% to USD 105.40 per barrel, while the US 10-year Treasury yield reached about 5.11%.
- Who
- Indian stock-market investors, financial companies, insurers and other listed businesses were affected.
- What
- The Sensex and Nifty suffered sharp declines in a broad-based market selloff.
- When
- Thursday, with no specific calendar date provided.
- Where
- Indian stock exchanges, including the Bombay Stock Exchange and the National Stock Exchange of India.
- Why
- Markets were pressured by higher crude oil prices, rising US bond yields and proposed tighter insurance-distribution rules in India.
- Sensex close
- 73,580.54, down 1,247.71 points or 1.67%
- Nifty close
- 23,063.10, down 383.70 points or 1.64%
- Brent crude
- USD 105.40 per barrel, up 2.36%
- US 10-year Treasury yield
- Around 5.11%
- Insurance proposal
- Lower Expenses of Management limits and tighter controls on commissions were proposed
- Market breadth
- 2,884 BSE stocks declined, 1,473 advanced and 216 were unchanged
- Worst-performing named stock
- PB Fintech fell 35.98%