The Indian stock market closed in the deep red on Tuesday, with Sensex and Nifty falling up to 0.7% as tensions in the Middle East escalated, driving up oil prices.

Sensex dropped 561 points to 77,055, while Nifty 50 dropped 159 points to 24,052 on Tuesday. The broader market also edged lower, with Nifty Smallcap 100 and Nifty Midcap 100 indices dropping up to 1%.

Nifty Auto, PSU Bank, IT and Realty emerged as the biggest losers, falling up to 2% in afternoon trade, while the sell-off wiped out nearly Rs 3 lakh crore from the market capitalisation of BSE-listed companies.

Here are today’s top gainers on Nifty

Here are today’s top gainers on Sensex

Here are today’s top losers on Nifty

Here are today’s top losers on Sensex

What lies ahead?

Domestic equities came under renewed pressure as escalating West Asia tensions drove crude oil prices sharply higher, reviving fears whether global energy supply further delays a recovery in India corporate earnings, said Vinod Nair, Head of Research at Geojit Investments.

The pain was compounded by the rupee breaching the 96-per-dollar mark, fanning concerns over imported inflation and squeezing input costs across industries, he added.

"The fallout was most visible in inflation- and cost-sensitive pockets; auto, financials, and realty led the market lower, while pharma bucked the trend, benefiting as investors sought shelter in defensives amid the volatility. Sustained foreign fund outflows added to the cautious mood, keeping sentiment on the back foot. Looking ahead, all eyes are now on the US Fed Chair, whose upcoming remarks could set the tone for global rate expectations. Meanwhile, the Q1 earnings season rolls on a positive note but rapid increase in geopolitical risk has dampened the sentiment," Nair further said.

Nifty 50 remained range-bound after opening with a gap-down as the NSE weekly options expired, said Rupak De, Senior Technical Analyst at LKP Securities. He added that the index found support around the previous day's low while continuing to sustain above the falling trendline.

"The index also held above the critical 50 EMA, indicating underlying strength. In the short term, the outlook is likely to remain positive as long as the index stays above 23,950. On the higher side, it may advance towards the 24,250–24,300 zone. However, a decisive fall below 23,950 could weaken the current bullish setup and trigger a phase of consolidation," according to the analyst.