India imports most of its crude oil.
Higher prices raise the import bill, inflation and the pressure on the rupee.
On October 21, Brent crude rose 1.31% to 110.15 dollars a barrel.
The Sensex fell 143.21 points, giving up early gains.
Foreign investor selling also weighed on the market.
Sunday Guardian Live reported that the Sensex was up more than 500 points at one stage in early trade, with the Nifty near 23,000.
The Nifty IT index rose 2.52% and was the only major sectoral gainer, according to Free Press Journal.
The Nifty Auto index fell 1.99%, Nifty Metal fell 1.97%, Nifty Realty fell 1.57%, Nifty Media fell 1.24% and Nifty Private Bank fell 1.16%, according to the same report.
Liquide reported that the Bank Nifty fell 0.92% to 54,976.90.
Brent crude rose 1.31% to 110.15 dollars a barrel, according to Free Press Journal.
Higher crude prices raised concerns about India’s import costs, inflation, corporate profit margins and rupee volatility, according to the same report.
Continued selling by foreign institutional investors weighed on sentiment, according to Free Press Journal.
Vinod Nair of Geojit Investments said high crude and foreign investor selling outweighed the trade news, while improving second-quarter earnings and buying by domestic institutions provided support.
Vikram Kasat of PL Capital said elevated crude prices could keep markets volatile.
These are the views of the analysts quoted and are not forecasts by this website.
Twenty-four carat gold fell 0.49% to Rs 1,45,803 per 10 grams and silver fell 1.15% to Rs 2,09,061 per kilogram, according to Free Press Journal.
Investors are watching geopolitical tensions, the India-US trade talks, foreign fund flows and second-quarter earnings, according to the same report.
US Secretary of State Marco Rubio said that only a small number of items remain unresolved in the India-US trade agreement talks, according to Business Today.
Dalal Street, Mumbai (file image), Wikimedia Commons, CC BY-SA 3.0