India's Markets Plunge as Oil Prices Soar Amid Middle Eastern Tensions
The Indian equity benchmarks crashed on Monday after opening lower as oil prices rose due to the ongoing conflict in the Middle East. The Nifty fell 1.2% while Sensex dropped the same amount, breaching the psychologically important 23,000 mark.
Oil prices surged with Brent crude up 1.96% at $106.36 a barrel after US President Donald Trump rejected an Iranian proposal to reopen the Strait of Hormuz. The move weighed heavily on global markets and exacerbated existing pressure from elevated global yields, persistent foreign selling, and high oil costs.
The broader market was under significant pressure with most indices in the red, including the Nifty Next 50 down 0.96% and the Nifty 200 down 0.77%. The only broad index to end higher was the Nifty SME Emerge up 0.27%, while the sectoral indices saw significant declines led by Nifty Realty down 1.13%.