Sensex, Nifty Fall as U.S.-Iran Tensions Pressure Markets
MUMBAI, India — Indian benchmark stock indexes closed lower Friday as renewed tensions between the U.S. and Iran weighed on investor sentiment and prompted caution across sectors.
The decline was led largely by banking stocks, though gains in information technology shares helped limit broader losses.
The Nifty fell 150.50 points, or 0.62%, to close at 24,176.15. The Sensex ended 516.33 points, or 0.66%, lower at 77,328.19.
Market analysts said the 24,250-to-24,300 range remains an immediate resistance zone for the Nifty. A sustained move above that level could strengthen momentum toward the broader resistance area of 24,400 to 24,500.
“On the downside, the 24,100–24,000 region remains a crucial support area, which will be important to maintain the current market structure,” an analyst said.
Titan, Apollo Hospitals Enterprise and Asian Paints were among the top gainers on the Nifty, bucking the broader weakness. SBI, Coal India, HDFC Bank, Axis Bank and Bajaj Finance were among the biggest laggards.
Banking stocks came under heavy pressure during the session. The Nifty PSU Bank, Nifty Private Bank and Nifty Bank indexes were among the worst-performing sectoral gauges as investors reduced exposure to financial stocks amid rising global uncertainty.
The Nifty IT index outperformed other sectors, supported by defensive buying and expectations of stable demand for technology services.
Oil prices also moved higher as hopes faded for a near-term resolution to the conflict in West Asia. Brent crude futures rose 0.66% to $100.72 a barrel on the Intercontinental Exchange, raising concerns about inflation and possible pressure on oil-importing economies such as India.
“Renewed hostilities between US and Iranian forces near the Strait of Hormuz triggered a sharp unwinding of optimism across global markets and risk assets, after Iran claimed the US had violated the ceasefire agreement,” an expert said. (Source: IANS)
