Sensex Falls 719 Points, Nifty Drops More Than 1% as West Asia Tensions Weigh on Markets
Mumbai — Indian equity markets ended sharply lower Monday as escalating tensions in West Asia triggered risk-off sentiment across global markets, leading to a broad sell-off in domestic equities and a rise in crude oil prices.
The Sensex fell 719.08 points, or 0.97%, to close at 73,524.26, tracking weakness in global equities and rising geopolitical uncertainty.
The Nifty dropped 243.70 points, or 1.04%, to settle at 23,123.
Commenting on the Nifty’s technical outlook, analysts said the 23,250-23,300 zone now acts as the immediate resistance area, followed by 23,450, where the latest breakdown originated.
“A decisive move above these levels will be required to improve market structure and trigger any meaningful recovery,” the analyst stated.
“On the downside, 23,100 remains the immediate support to watch. A breakdown below this level could accelerate selling pressure towards the crucial 23,000 mark,” a market expert noted.
Market sentiment was hit after reports suggested that Iran fired missiles at Israel, raising concerns over the fragile security situation in the region and dampening hopes of any immediate peace breakthrough between Washington and Tehran.
The development also fueled worries over potential disruptions in global oil supply, pushing crude prices higher.
Broader markets saw steeper losses, with the Nifty MidCap index declining 1.66% and the Nifty SmallCap index falling 2.88%.
Selling pressure was broad-based across sectors, with Nifty Realty, Nifty Metal and Nifty Auto among the worst performers during the session.
In contrast, the Nifty Healthcare index outperformed, showing some resilience amid the broader market decline.
Experts said the sharp fall in domestic equities reflected a combination of global risk-off cues, geopolitical tensions in West Asia and concerns that higher crude oil prices could affect inflation and corporate margins.
“Selling pressure resurfaced during the afternoon session as global uncertainty and continued foreign investor caution prevented the market from sustaining higher levels,” a market expert mentioned. (Source: IANS)
