Indian Equities Suffer Fifth Consecutive Weekly Loss Amid Crude Price Surge

The Indian equity benchmarks, Nifty and Sensex, posted significant losses for the fifth consecutive week due to rising crude oil prices and global interest rates. The Nifty declined by 2.09% during the week, while the Sensex fell by 2.27%. The sell-off was broad-based, with major sectors such as Realty and IT ending lower.

The sharp rise in crude oil prices, driven by attacks on tankers in the Strait of Hormuz and Iran-aligned Houthi forces threatening oil shipments from the Red Sea region, weighed heavily on domestic equities. WTI Crude surged over 9.5% to move above $104 per barrel, while Brent crude rose more than 8.5% during the week.

Analysts noted that the volatility in crude prices has heightened India's inflation risks and external-sector risks, with potential input cost increases and pressure on corporate margins. Global macroeconomic and geopolitical risks are likely to keep Indian equities on edge in the coming weeks.