Oil Prices, FPI Selling Trigger Late Selloff in Indian Markets; Sensex Slips 0.07%, Nifty50 Drops 0.42%

Indian benchmark indices erased intraday gains and closed lower on Wednesday after heavy final-hour selling, pressured by elevated crude oil prices and suspected foreign portfolio investor outflows. FPIs sold shares worth a net 9,940 crore rupees on Tuesday. Brent crude December futures climbed to $97.70 a barrel and were up 1.2% at $97.30, as stalled U.S.-Iran negotiations over reopening the Strait of Hormuz kept energy supply concerns alive. The BSE Sensex fell nearly 600 points from its day's high to settle at 72,480.29, down 48.78 points, or 0.07%. The Nifty50 closed at 22,620.45, losing 95.75 points, or 0.42%, after touching 22,809.35. Apollo Hospitals, Max Health, BSE, Nestle India, Cipla and SBI Life dropped 2%-5.7%. HDFC Bank, Infosys, Bharti Airtel and Tata Steel fell 1%-2.3%. Kotak Bank, ICICI Bank, Axis Bank and UltraTech Cement gained 1%-3%. Investors awaited U.S. inflation data due later in the day.