Nifty Bank plunges over 500 points as rupee hits record lows and $105 oil sparks rate fears

Markets are now betting rate cuts may slip

India’s banking stocks took a sharp hit on Tuesday as the Nifty Bank index fell about 500 points, driven by a record low rupee and surging oil prices. With Brent crude crossing $105, investors are recalculating inflation risks and credit growth expectations, increasingly pricing in a delay to interest rate cuts. Banks like ICICI and HDFC led the decline.