Sensex closes over 1,000 points lower: 5 reasons behind today's market fall

The equity benchmark indices ended sharply lower on Monday (September 28), with the Sensex falling 1,124 points to 72,772 and the Nifty declining 360 points to 22,780, its lowest level since April 2.

All four frontline indices closed nearly 2% lower, with the Nifty Bank emerging as the biggest underperformer. Here are five factors behind the market's fall at close:

1. Rising crude continues to weigh on market

Rising crude continued to weigh on the market, with seven Nifty stocks closing at their 52-week lows.

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2. Broad-based selling

The sell-off was broad-based, with 47 of the 50 Nifty stocks ending lower. Stocks declined by as much as 3%. BSE-listed companies lost ₹8 lakh crore in market capitalisation during the session.

3. Nifty Bank, PSU banks slide

The Nifty Bank fell 1,109 points to 54,472, making it the biggest underperformer among the four frontline indices. The Nifty PSU Bank index declined more than 3%.

4. All sectoral indices end lower

All sectoral indices closed in the red, while the volatility index jumped 13%. Gold financiers also declined, tracking gold prices, with Manappuram Finance slipping 6%.

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5. NSE, BSE fall on SEBI panel report

NSE and BSE declined following reports that the Securities and Exchange Board of India (SEBI) is considering forming a panel on self-listing. Despite Monday's fall, the Nifty is now up 2% in the first half of FY27 and is set for the first half of a financial year in four years.

Dr Reddy's Laboratories, Infosys and HDFC Life were the three Nifty stocks to close in the green. Air-conditioner companies also gained on expectations of a price hike, with Voltas rising 2%.

Jio Financial Services Ltd, Larsen & Toubro Ltd, Power Grid Corporation of India Ltd, Oil and Natural Gas Corporation Ltd, Shriram Finance Ltd, ICICI Bank Ltd, Trent Ltd, Hindalco Industries Ltd, JSW Steel Ltd and NTPC Ltd were the biggest laggards.