NEW DELHI: Shares of aviation firms including SpiceJet, Jet Airways and InterGlobe Aviation plunged up to 4 per cent in early trade on Wednesday following a sharp rise in global crude oil prices over the last two sessions.Oil prices firmed on expectations of a tighter market once US sanctions start targeting Iran's petroleum industry from next month, although a strong dollar and rising US crude supply curbed gains.
Prices however remain at highest levels since November 2014.
SpiceJet was trading 4.05 per cent down at RS 62.80 at around 9.20 am (IST), while Jet Airways and InterGlobe Aviation were down 3 per cent and 2.74 per cent, respectively, at around the same time.
The benchmark equity index BSE Sensex was down 168 points, or 0.46 per cent, at 36,358, while the NSE Nifty index was down 53 points, or 0.48 per cent, at 10,955.Brent crude oil futures were at $84.86 per barrel at 0340 GMT, up 6 cents from their last close.
US West Texas Intermediate (WTI) crude futures were up just 1 cent at $75.24 a barrel.Brent and WTI earlier this week both reached levels last seen in November 2014, and the two contracts have risen by around 20 per cent and 17 percent, respectively, since mid-August.As many as 33 stocks in the Nifty index were trading in the red with Bharti Airtel, HPCL, Axis Bank, UltraTech Cement and IndusInd Bank falling up to 4.18 per cent.
On the other hand, YES Bank, Hindalco, Indiabulls Housing Finance, HDFC and SBI were up between 3 per cent and 9 per cent.