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Stock Market Crash: Sensex Plunges 1045 Points As Five Major Factors Trigger Massive Rout
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Firstpost•08-10-2026, 19:35
Stock Market Crash: Sensex Plunges 1045 Points As Five Major Factors Trigger Massive Rout
- •Indian equity markets experienced severe selling pressure with the Sensex dropping 1,045 points and the Nifty falling 371 points.
- •The Reserve Bank of India raised the repo rate by 25 basis points to 5.50 percent and shifted its policy stance to calibrated tightening.
- •Brent crude prices surged nearly 4 percent to surpass 104 dollars a barrel, escalating inflation concerns and import costs for India.
- •Foreign institutional investors continued massive capital outflows, pulling out approximately 43,395 crore rupees over six trading sessions.
- •The Indian rupee remained under severe pressure near record-low levels against the US dollar amid high US bond yields and foreign outflows.
Key Questions Answered
Indian equity markets experienced heavy selling due to the Reserve Bank of India's shift toward tighter monetary policy, a surge in crude oil prices, and sustained foreign fund outflows.
The Reserve Bank of India raised the repo rate by 25 basis points to 5.50 per cent while shifting its policy stance from neutral to calibrated tightening.
Foreign institutional investors engaged in persistent selling, pulling out around Rs 43,395 crore from Indian equities over a span of six trading sessions.
