The benchmark indices Sensex and Nifty declined on Thursday as rising crude oil prices, foreign fund outflows and growing prospects of tighter domestic and global monetary conditions for longer weighed on investor sentiment.
At around 9:45 am, the Sensex was down 447.83 points, or 0.62 percent at 72,190.87, while the broader Nifty declined 167 points, or 0.68 percent to 22,445.70.
The Nifty and Sensex snapped a two-session winning run in the previous session after the Reserve Bank of India (RBI) raised its benchmark repo rate by 25 basis points to 5.50 percent, marking the first hike in nearly four years amid mounting inflation and strong economic growth.
All major Nifty sectoral indices declined, barring IT and consumer durables. The broader Nifty Smallcap 100 and Nifty Midcap 100 dropped up to 1 percent.
1) Rise in crude prices: Brent crude, the global oil benchmark, traded 2.02 percent higher at USD 102.2 per barrel amid persistent worries over West Asia supplies, driven by increased attacks on shipping in the Gulf and the Strait of Hormuz.