Daijiworld Media Network - Mumbai

Mumbai, Oct 22: Indian equity markets extended their losses for the third consecutive session on Thursday as rising crude oil prices and escalating tensions in the Middle East dampened investor sentiment. Weak cues from Asian markets and concerns over inflation and higher input costs added to the selling pressure.

The BSE Sensex declined 460.30 points, or 0.62%, to close at 73,249.39, while the NSE Nifty 50 fell 123.70 points, or 0.54%, to settle at 22,687.65.

Mid-cap and small-cap stocks also faced selling pressure, indicating broad-based weakness across the domestic equity market.

Asian markets traded mixed to lower amid concerns over the Middle East conflict, elevated energy prices and uncertainty surrounding technology-sector spending. Japan's Nikkei 225 fell 2.3%, South Korea's Kospi dropped 3.8%, Hong Kong's Hang Seng declined 3.1% and China's Shanghai Composite slipped 1.6%. Australia's S&P/ASX 200 edged down 0.4%.

Technology and semiconductor stocks led declines in several Asian markets as investors reassessed corporate earnings prospects and the sustainability of heavy spending on artificial intelligence. Rising energy prices further fuelled concerns about inflation and global economic growth.

Crude oil prices remained a major concern for India, which relies heavily on imports to meet its energy requirements. Higher oil prices could increase inflationary pressures, raise input costs for companies, squeeze corporate profit margins and widen the country's trade deficit.

Market participants are expected to closely monitor movements in crude oil prices, geopolitical developments, global market trends and corporate earnings for further direction.

Investor sentiment is likely to remain cautious in the near term as uncertainty over the Middle East conflict and its potential economic impact continues to weigh on the markets.