Indian Markets Open Lower As Hormuz Tensions Weigh On Sentiment

Domestic stock markets opened lower on Monday, as renewed tensions between the United States and Iran in the Strait of Hormuz dampened investor confidence.

The BSE Sensex declined in early trading, falling by over 200 points, while the Nifty 50 also moved lower, slipping by more than 100 points. The weakness was largely driven by selling in sectors such as real estate, metals, and energy.

Several major stocks came under pressure during the session, including HDFC Bank, Kotak Mahindra Bank, Bajaj Finserv, Hindalco Industries and HDFC Life.

Market participants remained cautious despite supportive global signals.

Analysts noted that while underlying momentum in equities is still present, uncertainty linked to geopolitical developments continues to limit strong directional moves.

Institutional activity reflected mixed trends. Foreign institutional investors (FIIs) were net buyers in the previous session, while domestic institutional investors (DIIs) booked profits, leading to net selling.

The latest pressure on markets followed fresh restrictions imposed by Iran on shipping through the Strait of Hormuz, a key route for global oil supply.

Concerns over disruption pushed crude prices higher, with Brent crude and West Texas Intermediate both recording sharp gains.

Globally, equity markets showed resilience. Major Asian indices, including Japan’s Nikkei, Hong Kong’s Hang Seng, and South Korea’s KOSPI, traded modestly higher.

Wall Street had ended the previous session on a positive note as well, with the S&P 500 and Nasdaq Composite closing with gains.

Analysts expect markets to remain sensitive to geopolitical developments in the near term, with trading likely to stay volatile until there is greater clarity on the situation in West Asia.

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