New Delhi, Sept. 29 -- The year 2026 is shaping up to be the worst for domestic equities in more than a decade, as a combination of weak global and domestic factors has added persistent downward pressure on Dalal Street, pushing the market into double-digit losses.

Bulls had hoped that this year could be another record-breaking year for equities, as recent economic reforms and higher capex spending could fuel the rally. However, those expectations soon faded after the US launched attacks on Iran in February, which completely changed the domestic equity backdrop for the worse.

Domestic conditions were also challenging for bulls, as a falling rupee, limited exposure to AI, weakening agricultural conditions, and sustained selling by overse...