SENSEX, NIFTY SLIDE FOR FOURTH DAY AMID OIL SHOCK, WEAK RUPEE AND IT SELLOFF

Published on May 12, 2026 16:50

The domestic equity indices ended with steep losses on Tuesday, extending their losing streak to a fourth consecutive session amid mounting global uncertainty. Investor sentiment remained fragile due to rising crude oil prices, record rupee weakness, sustained foreign fund outflows and renewed concerns over the fragile U.S.-Iran ceasefire. Fears of prolonged disruption in global oil supplies and higher inflation further weighed on risk appetite. Selling pressure intensified in IT stocks after OpenAI launched a new $4 billion AI deployment venture, raising concerns over disruption in the technology services space. The Nifty settled below the 23,400 mark, dragged lower by sharp losses in IT and consumer durable stocks. All sectoral indices on the NSE ended in the red.

The S&P BSE Sensex tanked 1,456.04 points or 1.92% to 74,559.24. The Nifty 50 index fell 436.30 points or 1.83% to 23,379.55. In the four consecutive trading sessions, the Sensex tanked 2.5%, while the Nifty 50 fell 2.1%.

Reliance Industries (down 1.77%), HDFC Bank (down 1.77%) and ICICI Bank (down 1.68%) were major drags today.

The broader market underperformed the frontline indices. The BSE 150 MidCap Index slipped 2.56% and the BSE 250 SmallCap Index declined 2.95%.

Sellers outnumbered buyers. On the BSE, 869 shares rose and 3,412 shares fell. A total of 141 shares were unchanged.

The NSE`s India VIX, a gauge of the market`s expectation of volatility over the near term, surged 3.92% to 19.28.

Numbers to Track:

In the foreign exchange market, the rupee edged higher against the dollar. The partially convertible rupee was hovering at 95.6300 compared with its close of 94.2800 during the previous trading session.

The yield on India`s 10-year benchmark federal paper rose 0.27% to 7.050 compared with the previous session close of 7.031.

MCX Gold futures for the 5 June 2026 settlement shed 0.21% to Rs 153,336.

The US Dollar Index (DXY), which tracks the greenback`s value against a basket of currencies, was up 0.32% to 98.13.

The United States 10-year bond yield added 0.41% to 4.431.

In the commodities market, Brent crude for July 2026 settlement surged $3.24 or 3.11% to $107.45 a barrel.

Global Markets:

European shares declined on Tuesday amid fading optimism over a lasting peace agreement between the U.S. and Iran.

Investor sentiment weakened after U.S. President Donald Trump said on Monday that the ceasefire between Washington and Tehran was on �massive life support,� raising concerns over a prolonged conflict and further disruption to global energy supplies.

Germany�s ZEW Indicator of Economic Sentiment improved to -10.2 in May 2026 from -17.2 in April, beating market expectations of -19.8. However, the index remained in negative territory due to weak industrial activity, elevated energy costs and persistent inflation pressures.

Asian markets ended mixed as investors assessed geopolitical risks and rising oil prices linked to tensions in the Middle East.

On Wall Street, U.S. equities ended higher overnight, supported by gains in technology stocks despite concerns over the conflict and elevated crude oil prices.

The S&P 500 rose 0.19% to close at 7,412.84, while the Nasdaq Composite gained 0.10% to 26,274.13. The Dow Jones Industrial Average advanced 0.19% to settle at 49,704.47.

Stocks in Spotlight:

IT stocks plunged on Tuesday after OpenAI announced the launch of the OpenAI Deployment Company, a new enterprise-focused AI business backed by more than $4 billion in initial investment. The move rattled investor sentiment across Indian IT services companies as the new venture directly targets large-scale AI deployment, workflow redesign and enterprise transformation - areas traditionally dominated by global IT consulting and outsourcing firms.

The Nifty IT index slumped 3.73% to 28,234.90. LTIMindtree led the decline, falling 4.76%, followed by Tech Mahindra, down 4.21%, and HCL Technologies, which slipped 4.01%. Persistent Systems dropped 4%, while Tata Consultancy Services declined 3.74%. Coforge fell 3.73%, Wipro lost 3.24%, and Infosys shed 3.17%. Oracle Financial Services Software declined 2.59%, while Mphasis slipped 2.31%.

One MobiKwik Systems dropped 11% after the company reported a consolidated profit after tax of Rs 4.4 crore in Q4 FY26 against a loss of Rs 56 crore in Q4 FY25, resulting in a positive swing of Rs 60.4 crore. On a sequential basis, PAT improved from Rs 4.1 crore in Q3 FY26. Total income increased 6.3% YoY to Rs 296.0 crore in Q4 FY26 from Rs 278.5 crore in Q4 FY25. Sequentially, total income declined marginally by 0.4% from Rs 297.2 crore in Q3 FY26.

Paradeep Phosphates surged 3.83% after the company�s consolidated profit after tax stood at Rs 155.60 crore in Q4 FY26, down 9.63% from Rs 172.19 crore in Q4 FY25 and declined 14.53% from Rs 182.06 crore in Q3 FY26. Revenue from operations increased 12.11% YoY to Rs 4,701.97 crore in Q4 FY26 from Rs 4,193.96 crore in the corresponding quarter last year. However, revenue declined 18.21% sequentially from Rs 5,748.67 crore in Q3 FY26.

Satin Creditcare Network surged 4.70% after the company reported a more than seven-fold jump in consolidated net profit to Rs 162.02 crore in Q4 FY26, compared with Rs 21.89 crore posted in Q4 FY25. Total revenue from operations jumped 49.48% YoY to Rs 919.50 crore in the quarter ended 31st March 2026.

Manorama Industries declined 12.48% after the company�s standalone net profit fell 12.79% to Rs 59.51 crore on 5.45% rise in revenue from operations to Rs 382.29 crore in Q4 FY26 over Q3 FY26. On a year on year basis, the company�s net profit jumped 40.82% while revenue from operations climbed 64.21% in Q4 FY26.

Indian Hotels Company (IHCL) declined 4.03%. The company reported a 14.84% increase in consolidated net profit to Rs 599.86 crore in Q4 FY26, compared with Rs 522.30 crore in Q4 FY25. Revenue from operations rose 14.02% YoY to Rs 2,765.29 crore in the quarter ended 31 March 2026.

G R Infraprojects tanked 5.77% after the company�s consolidated net profit dropped 48.75% to Rs 206.97 crore in Q4 FY26 as against Rs 403.90 crore in Q4 FY25. Revenue from operations rose 9.88% YoY to Rs 2,500.41 crore in the quarter ended 31 March 2026.

Fractal Analytics fell 2.25%. The company reported 115% rise in consolidated net profit to Rs 117.80 crore on a 17% increase in revenue to Rs 886.30 crore in Q4 FY26 as compared with Q4 FY25.

Abbott India declined 3.15%. The company reported 7.6% increase in consolidated net profit to Rs 394.93 crore on a 6.5% rise in revenue to Rs 1,709.51 crore in Q4 FY26 as compared with Q4 FY25.

Aurionpro Solutions tanked 12.76%. The company reported 22.2% increase in consolidated net profit to Rs 61.51 crore on a 5.7% rise in revenue to Rs 345.57 crore in Q4 FY26 as compared with Q4 FY25.