Nifty 50 Slumps as Crude Hits $107 Amid Fed Rate Hike Fears
India's Nifty 50 and Sensex indices retreated on September 15, 2026, as investors remained cautious amid a weakening rupee and persistent inflationary pressures. The market reversed early gains due to a sharp rise in Brent crude oil prices, which neared $107 per barrel.
The surge in crude oil prices was driven by supply disruptions following an outage on Saudi Arabia's East-West pipeline and escalating geopolitical tensions in the Middle East. This environment put significant pressure on the Indian rupee, which tested the 95.80 resistance level against the U.S. dollar.
Market participants are bracing for a possible 25-basis-point interest rate hike by the U.S. Federal Reserve, which could lead to capital outflows from emerging markets like India. The Fed's two-day policy meeting began on Tuesday, and investors are watching the outcome closely.