India’s BSE Sensex fell about 0.9% to 74,189 on Thursday, erasing the previous session’s gains and marking its lowest close since September 15. Sentiment was pressured by a combination of rising crude oil prices, persistent foreign investor selling, and pending regulatory changes in the financial sector.
Crude prices climbed back above $100 a barrel, stoking renewed concerns about inflation and the country’s import bill, given India’s heavy reliance on oil imports. Financial stocks were under particular pressure after the insurance regulator proposed revisions to commission structures, including product-complexity–based caps and rules to spread life insurance commissions beyond the first year.
Investors also tracked the market debut of the National Stock Exchange, India’s largest bourse, following its 225.6 billion rupees initial public offering, which is expected to deliver a relatively modest 2%–3% gain on listing. Financials led the market decline, with L&T Finance (-7.6%), Bajaj Finance (-4.7%), and Max Financial Services (-11.8%) among the most notable laggards.
