The trading week started with a 'red Monday' for Dalal Street investors, as benchmark indices Nifty 50 and Sensex tumbled over 1%. Investors cumulatively lost Rs 4.67 lakh crore so far, according to the market capitalisation data shared by BSE.
The total market capitalisation of all BSE-listed companies fell to Rs 4,68,80,280.67 crore as of 2:10 p.m., from Rs 4,73,46,932.13 crore at Friday's close. That's a drop of Rs 4,66,651.46 crore, or about 0.99%.
The BSE Sensex was at 73,790.87 as of 2:17 p.m., down 938.41 points or 1.26%, after hitting an intraday low of 73,708.54, down 1,020.74 points or 1.37%. The NSE Nifty 50 was trading at 22,871.50, down 274.65 points or 1.19%, after touching a low of 22,845.00, down 301.15 points or 1.30%.
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Rally Runs Out Of Steam
The stock market crash today comes after a strong week, when the Sensex rose 2,256.94 points or 3.11%, and the Nifty gained 625.70 points or 2.77%. That was the second straight weekly gain for both indices and their best week since April 2026. IT stocks had driven the rally, and the Nifty IT index had its best week in 18 years, according to Reuters.
The rally was narrow, though. Midcaps and smallcaps lagged the benchmarks through the week. At the Sensex's intraday low today, the index had given up nearly half of last week's gains.
Private Banks Lead The Sell-Off
Private bank heavyweights dragged the market after their Q2 results. Axis Bank fell 4.23% to Rs 1,235.40, as higher operating expenses led to a slight earnings miss despite a 39% jump in net profit. HDFC Bank slipped 2.76% to Rs 708.75 on concerns over margin pressure, and ICICI Bank was down 1.02% at Rs 1,382.80. State-run lenders moved the other way, with Punjab National Bank rising 4.68% to Rs 121.74 after its Q2 results.
Weak Global Cues
US stocks fell sharply on Friday after renewed selling in AI-related technology names, and the Nasdaq dropped 2.19%. Worries about funding for AI investments also hit Asian markets, pulling down IT stocks at home after last week's rally.
Crude oil prices remain high. Brent fell 2.49% to $107.12 a barrel today but is still well above where it was earlier last week, after settling at $109.86 on Friday. High oil prices are a concern for India, which imports most of its oil.
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