Indian stock markets opened sharply lower on Monday, mirroring a global sell-off triggered by surging oil prices, escalating geopolitical tensions in the Middle East and a sharp fall in the rupee. The BSE Sensex fell more than 2,400 points in early trade, while the Nifty 50 dropped over 700 points, reflecting widespread selling across sectors.. Traders react after fluctuations in stock market, in Kolkata. Both Sensex and Nifty fell sharply on March 9, 2026 (PTI). The sharp decline comes as global markets tumble and crude oil prices surge to their highest levels since 2022.. Here are the key reasons behind the sharp fall in Indian shares. 1. Oil prices surge amid Middle East conflict. The biggest trigger for the market decline is the massive spike in crude oil prices after the United States–Israel war with Iran intensified.. Brent crude jumped more than 25 per cent to around $116 per barrel, while US benchmark West Texas Intermediate also surged above $114 per barrel.. Oil prices have soared as the conflict threatens energy production and shipping routes across the Middle East. Tanker traffic through the Strait of Hormuz, a crucial passage that carries roughly 20 percent of global oil supply, has largely halted, raising fears of prolonged disruptions.. Supply concerns have worsened after Iraq and Kuwait began cutting oil output, while earlier liquefied natural gas reductions from Qatar added to fears of a broader energy shock.. 2. India’s heavy dependence on imported crude. India is particularly vulnerable to rising oil prices because it imports more than 85 per cent of its crude oil requirements.. Market expert Ajay Bagga told news agency ANI the oil shock could significantly hurt the economy. “The oil price hit to the Indian GDP, current account deficit and inflation will be huge given that India meets more than 85 per cent of its crude oil requirements from imports.”. Higher crude prices are expected to push up petrol, diesel, cooking gas and aviation fuel prices, increasing costs for businesses and consumers.. Check city-wise Petrol and Diesel prices here. This raises concerns about inflation, fiscal pressure and slower economic growth, which typically weigh heavily on stock markets.. 3. Rupee falls close to all-time low. The Indian rupee also came under severe pressure, adding to investor worries. The currency plunged 46 paise to around 92.28 against the US dollar in early trade, moving close to its all-time intra-day low of 92.35 recorded earlier this month.. Forex traders said the rupee weakened due to rising crude oil prices, a strengthening US dollar, heavy foreign investor outflows and weak domestic equity markets.. The dollar index rose about 0.66 per cent, reflecting strong global demand for the US currency as investors seek safe-haven assets during periods of uncertainty.. Analysts warned that the rupee could weaken further toward 93 per dollar if crude prices remain above $100.. 4. Global markets plunge, dragging India lower. I