Sensex falls 2%, rupee hits new low as high crude oil prices weigh

Indian shares plunged over 2 percent on Thursday, dragged by energy stocks such as Reliance Industries and oil marketers, while the rupee hit an all-time low.

Oil marketing companies slumped after the government cut petrol and diesel prices by 2.5 rupees per litre and said these companies will absorb 1 rupee per litre.

Hindustan Petroleum Corp Ltd, Bharat Petroleum Corp Ltd and Indian Oil Corp declined 13.5 percent, 12.4 percent and 11.4 percent, respectively.

Reliance Industries accounted for more than half of the NSE index's decline, closing 6.87 percent lower.

The benchmark BSE Sensex closed down 2.24 percent at 35,169.16, while the broader NSE Nifty ended 2.39 percent lower at 10,599.25, in its biggest percentage fall since Nov. 11, 2016.