Sensex crashes over 1700 points in early trade

Mumbai: The Sensex and Nifty fell by three per cent in early trade on Monday as a worsening Russia-Ukraine crisis sent oil prices surging to the highest level since 2008 and stoked inflation fears.

The benchmark Sensex crashed by 3.17 per cent or 1,721.21 points to 52,612.60, The blue-chip Nifty-50 was down by 2.92 per cent or 473.70 points at 15,771.65. The stock market was trading in the red.

Both the indexes extended losses to a fourth straight session. Last week, they also posted their fourth consecutive weekly loss.

This comes after investors started



dumping risky assets as oil prices soared after the United States and European allies were said to be mulling a Russian oil import ban, according to a Reuters report.

Oil prices surged on Monday after the US and European allies explored a Russian oil import ban, while delays in the potential return of Iranian crude to global markets sped up supply fears.

India is the world's third-largest importer of crude oil, and rising prices push up the country's trade and current account deficit while also hurting the rupee and fuelling imported inflation.