On September 30, both the BSE Sensex and NSE Nifty 50 experienced significant declines, with the Sensex dropping 1,272.07 points to close at 84,299.78, and the Nifty 50 falling 368.10 points to settle at 25,810.85.

The sharp downturn in the domestic equity market was influenced by global trends and escalating geopolitical tensions, particularly in the Middle East.

On the same day, Foreign Institutional Investors (FIIs) net sold shares worth Rs 9,791.93 crore, while Domestic Institutional Investors (DIIs) were net buyers of Rs 6,645.80 crore.

This decline followed a brief period of optimism, as both indices had reached all-time highs just days earlier on September 27, before closing lower.

Despite the overall market decline, sectors such as media and metals showed resilience, with gains of 1.33% and 1.12%, respectively.

The auto sector was particularly hard hit, with the Nifty Auto index declining by 2%, reflecting broader market challenges.

In a related development, new transaction charges implemented by the BSE and NSE took effect on October 1, following a directive from the Securities and Exchange Board of India (Sebi).

Looking ahead, GIFT Nifty futures indicated a flat to positive start for the Indian markets on October 1, suggesting potential recovery.

Investor sentiment was further reflected in the India VIX, which surged by 6.89%, signaling increased market volatility.

Additionally, the Securities Transaction Tax (STT) for futures and options trading increased, with futures rising to 0.02% and options to 0.1%.

In other economic news, gold prices are on track for their best quarter in over eight years, driven by expectations of US monetary easing.

Amid these fluctuations, India's eight key infrastructure sectors reported a 1.8% year-on-year contraction in August, marking the first decline in over 42 months.