Indian Stocks Fall for Second Straight Day Amid West Asia Tensions
MUMBAI, India — Indian equity markets declined sharply for a second consecutive session Thursday, with benchmark indices dropping about 1 percent as escalating tensions in West Asia and disruptions around the Strait of Hormuz weighed on investor sentiment.
The Sensex closed at 77,664, down 852 points, or 1.09 percent, while the Nifty ended at 24,173, losing 205 points, or 0.84 percent. Selling pressure was broad-based, hitting auto, banking, IT, and real estate stocks.
Among the major laggards were Tech Mahindra, Infosys, Tata Motors Passenger Vehicles, Mahindra & Mahindra, Eicher Motors, HDFC Bank, and ICICI Bank.
During the session, the Sensex fell as much as 1.2 percent to an intraday low of 77,574, while the Nifty dropped nearly 1 percent, or 243 points, to 24,134.80.
Sectoral indices also reflected widespread weakness, with Nifty Auto, Nifty PSU Bank, Nifty Consumer Durables, Nifty Realty, and Nifty IT declining by up to 2 percent each.
Defensive sectors offered some support, with Nifty Healthcare and Nifty Pharma rising by as much as 2 percent.
The broader market followed suit, with the Nifty 100 down 0.93 percent, the Nifty 200 falling 0.83 percent, and the Nifty 500 slipping 0.79 percent.
Mid- and small-cap stocks also saw selling pressure. The Nifty Midcap 50 declined 0.71 percent, while both the Nifty Smallcap 100 and Nifty Smallcap 50 dropped 0.6 percent.
The India VIX, a measure of market volatility, rose 1.58 percent to nearly 20, signaling increased uncertainty among investors.
Analysts said sentiment weakened as geopolitical risks intensified, citing uncertainty over Iran ceasefire talks and continued disruptions in the Strait of Hormuz.
Higher crude oil prices, a weakening rupee, and institutional selling further contributed to a risk-off environment.
Market experts said the Nifty faced resistance near the 24,300 level, which had previously acted as support but has now turned into a resistance zone between 24,300 and 24,400.
“From a technical standpoint, this zone continues to function as a key supply area, indicating persistent selling pressure at higher levels. On the downside, the 24,100–24,000 range now serves as immediate support, and a decisive break below this zone could accelerate the decline towards the 23,800 level,” analysts said.
Currency experts noted that the rupee weakened past the 94 mark amid strong demand for the U.S. dollar and a shift toward safe-haven assets, with rising crude prices adding further pressure.
Global cues remained weak, with Brent crude rising about 4 percent to $105.86 per barrel on supply concerns tied to ongoing geopolitical tensions. (Source: IANS)
