Sensex slumps 650 points on oil price jitters, geopolitical turmoil

Mumbai: India’s benchmark equity index Sensex slumped nearly 650 points, while 50-stock Nifty erased all gains made so far in 2019 as investor appetite for risky assets soured following attacks on Saudi Arabia’s oil facilities over the weekend. The attacks not only pushed global crude oil prices to record highs but also sparked geopolitical tension in West Asia.

“The rampant sell off across the horizon for second consecutive day resulted in complete erosion of previous week’s gains. The sudden spike in oil prices on account of drone attacks on Saudi Arabia establishments has definitely disrupted sentiments as it tends to adversely impact current account and fiscal deficit, thereby deterring the path of recovery for an economy that is already immersed in a slowdown.” said Nischal Maheshwari, CEO – Institutional Equities, Centrum Broking