Indian stock indexes closed down 1 percent on Tuesday, while bonds and the rupee also fell after oil prices surged, raising concerns about the inflation outlook and hitting oil refiners such as Reliance Industries.
The benchmark BSE Sensex closed down 1.07 percent at 33,370.76, while the broader NSE Nifty closed 0.97 percent lower at 10,350.15. Both indexes posted their biggest percentage loss in nearly six weeks.
Reliance Industries lost 2.8 percent, while Lupin Ltd shares dropped as much as 18.3 percent to its lowest in nearly four years after U.S. Food and Drug Administration issued warning letter to two of its facilities.
The benchmark 10-year bond yield rose as much as 5 basis points to 6.94 percent, its highest since May 11. The rupee weakened to as much as 64.8775 per dollar from its close of 64.6850.