Mumbai, May 11 -- Markets slumped on Monday after Prime Minister Narendra Modi urged Indians to cut fuel consumption, avoid buying gold for a year, and limit foreign travel, amid rising pressure on the rupee and on India's import bill due to supply constraints triggered by the West Asia conflict.

Investors interpreted the remarks as a signal that the government may be preparing for tougher measures, including possible fuel price hikes or steps to curb imports.

On Monday, the Nifty 50 and the Sensex marked their steepest single-day fall since 30 March, slumping 1.49% and 1.7%, respectively.

The Prime Minister's remarks triggered a broad selloff across sectors seen as vulnerable to potential curbs or price increases, with shares of oil m...