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BENGALURU: Indian shares ended nearly 1% lower on Monday after making sizeable gains the previous week, weighed down by losses in bank stocks, while a surge in oil prices stoked inflation fears.

The blue-chip NSE Nifty 50 index closed 0.98% lower at 17,117.60, while the benchmark S&P BSE Sensex lost 0.99% to end at 57,292.49. The market was closed on Friday for a holiday.

Both the indexes added about 4% last week, helped by a pullback in oil prices, further easing of COVID-19 curbs in the country and hopes for progress in Russia-Ukraine peace talks.

However, oil prices on Monday rose above $110 a barrel amid tight supplies and as European Union nations consider joining the United States in a Russian oil embargo.

A jump in oil prices is a setback for India, the world’s third biggest consumer and importer of oil. The government has not hiked domestic prices so far.

Investor sentiment was also soured after global markets slipped as the Russia-Ukraine conflict dragged on with little progress in peace talks.

In Mumbai trading, the Nifty Bank Index fell 1.13% after two consecutive sessions of gains, while the Nifty Auto Index lost 1.21%.

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