The Sensex opened at 72,990, below its previous Friday's closing level of 73,123. Selling pressure intensified shortly after the opening bell, pushing the 30-share index down 609 points to 72,514 within just five minutes of trading.
The Nifty followed a similar trajectory. The 50-share index opened at 22,524, compared with its previous closing level of 22,600. The decline accelerated soon after the market opened, with the index falling 213 points to trade at 22,387.
These Stocks Suffered the Sharpest Losses
The sharp decline on the first trading day of the week affected stocks across large-cap, mid-cap and small-cap categories.
Among the 30 stocks in the BSE large-cap category, 26 were trading in negative territory. Asian Paints shares fell 3%, Bajaj Finance declined 2%, Hindustan Unilever (HUL) dropped 1.80%, and Infosys slipped 1.70%.
Selling pressure was also visible in the mid-cap segment. AU Bank shares declined 6%, IDFC First Bank fell 2.70%, Sundaram Finance dropped 2.20%, and Paytm shares slipped as much as 1.70%.
In the small-cap category, MTAR Technologies shares were trading 5% lower, while Ujjivan Small Finance Bank declined 3.50%.
What Is Behind the Market Crash?
Fluctuations in international crude oil prices have emerged as a key factor behind the market downturn. Although Brent crude oil prices recorded a marginal decline, they were trading around $115 per barrel, returning to this level after April.
Elevated crude oil prices have increased concerns about inflation, weighing on market sentiment and adding to the pressure on equities.
Selling pressure in information technology stocks has also contributed to the weakness, with IT shares witnessing declines.
Meanwhile, the India VIX, widely regarded as a measure of fear in the stock market, surged nearly 6% on Monday to reach the level of 18. The increase indicates heightened expectations of market volatility in the coming days.
With the Sensex losing 609 points within minutes of opening and the Nifty falling more than 200 points, the combination of elevated crude oil prices, inflation concerns, selling in IT stocks and a rising India VIX has put the market under pressure at the start of the trading week.
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