Impact of Iran Tensions: Stock Markets Tumble Sharply

Domestic stock markets came under severe pressure following the joint U.S.–Israel strikes on Iran and the subsequent geopolitical developments. Negative cues from global markets, coupled with a surge in crude oil prices, triggered a sharp sell-off in benchmark indices. The Sensex fell by nearly 1,000 points, while the Nifty declined by around 300 points.

At 9:25 a.m., the Sensex was down 1,048.48 points at 80,238.71 and the Nifty had dropped 307.35 points to trade at 24,871.30. The Indian rupee also weakened, slipping by 24 paise to trade at 91.32 against the U.S. dollar. In early trade, the Sensex had plunged nearly 2,700 points and the Nifty about 530 points, sparking concern among investors. An estimated ₹8 lakh crore in investor wealth was wiped out during the sharp decline. Although markets later showed signs of partial recovery, losses continued to persist.

Amid escalating tensions between Iran and the United States, crude oil prices in the international market surged above $80 per barrel. As a result, oil-sensitive domestic stocks faced significant pressure. InterGlobe Aviation shares fell by around 5 percent, while major stocks such as Maruti Suzuki and Asian Paints also traded in the red. Additionally, foreign institutional investors (FIIs) sold equities worth ₹7,536 crore in the previous trading session, further dampening overall market sentiment.