Sensex tumbles 1065 points, Nifty dives 353 pts: Why did share market fall today?

Share market down: Stock market benchmark indices Sensex and Nifty tanked over 1 per cent on Tuesday. Sensex tumbled 1,065.71 points to settle at 82,180.47, while Nifty dived 353 points to 25,232.50. The decline was driven by multiple pressure points that came together, amplifying downside momentum. This comes amid tensions driven by the Trump administration’s new tariff threats over Greenland.

Why did the market fall today?

The downfall in the market was witnessed due to heavy selling pressure in market heavyweights Reliance, Bajaj Finance and M&M amid escalating geopolitical tensions. Besides, ongoing weakness in the rupee and persistent foreign fund outflows dented investors' sentiment, PTI reported.

From the 30-Sensex firms, Eternal declined by 4.02 per cent, followed by Bajaj Finance (3.88 per cent), Sun Pharma, InterGlobe Aviation, Trent, Asian Paints, Mahindra & Mahindra and Bajaj Finserv. HDFC Bank emerged as the only gainer from the pack. The Indian equity market ended today’s session on a decisively negative note, reflecting a combination of weak global cues, cautious investor positioning, and subdued risk appetite, he added.

Foreign Institutional Investors (FIIs)

Foreign institutional investors offloaded equities worth Rs 3,262.82 crore on Monday, according to exchange data. While Domestic Institutional Investors (DIIs) remained buyers as they bought stocks worth Rs 4,234.30 crore, according to exchange data.

Rupee falls to 90.97 against US dollar

The Indian rupee depreciated 7 paise to close at a record low of 90.97 (provisional) against the US dollar on Tuesday, as strong dollar demand from metal importers and persistent foreign fund outflows dented investor sentiment. Forex traders said rising geopolitical uncertainties, including renewed US expansionary signals, have increased risk aversion and kept emerging market currencies under pressure.

Global Markets

US futures fell sharply and European markets shed more than 1% on tensions driven by the Trump administration’s new tariff threats over Greenland. France's CAC 40 slipped 1.2% to 8,014.42, while Germany's DAX lost 1.5% to 24,581.44. Britain's FTSE 100 shed 1.3% to 10,068.04. The future for the S&P 500 sank 1.8% while that for the Dow Jones Industrial Average dropped 1.6%.

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