Indian equity benchmarks opened Monday’s session with notable losses after Brent crude oil prices advanced towards the $80-per-barrel mark amid rising tensions in West Asia.
The BSE Sensex slipped more than 600 points to open at 76,963.35, while the NSE Nifty fell 167.50 points to begin trading at 24,039.40.
Most sectoral indices traded lower during early trade, with automobile and metal stocks witnessing the sharpest declines.
Consumer durables, PSU banking, and private banking shares also remained under pressure. In contrast, information technology and pharmaceutical stocks managed to register modest gains.
Market analysts said recurring geopolitical developments in West Asia have continued to create uncertainty, particularly for countries that depend heavily on crude oil imports. They added that Brent crude trading near $80 per barrel remains within a comfortable range for Indian markets, but a sustained move beyond $90 could trigger a deeper market correction.
Despite the weak start, experts observed that consistent buying by foreign institutional investors has helped cushion the domestic market. They said global investors have increasingly shifted funds towards India as they reassess risks linked to South Korea’s semiconductor sector.
Investor concerns strengthened after reports that US forces launched precision strikes on several locations in Iran.
At the same time, Iran’s Revolutionary Guards claimed responsibility for attacks on US military bases in Kuwait and Bahrain.
Following these developments, Brent crude rose by more than 4 per cent to trade close to $80 per barrel, while US West Texas Intermediate crude climbed to approximately $74.66 per barrel.
The negative sentiment spread across Asian markets as well.
Japan’s Nikkei dropped 1.6 per cent, Hong Kong’s Hang Seng edged down 0.20 per cent, and South Korea’s KOSPI plunged by more than 6 per cent amid growing concerns over the geopolitical situation and its impact on global markets.
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