Indian markets fall for sixth straight week amid West Asia tensions

Indian equity markets extended their losing streak to a sixth consecutive week, pressured by escalating tensions in West Asia and fluctuations in global currencies, with benchmark indices closing lower in a truncated trading week.

The BSE Sensex ended on Thursday at 73,319.55, down 263.67 points or 0.35 per cent compared with the previous week’s close. Meanwhile, the Nifty 50 settled at 22,713.10, declining 106.50 points or 0.46 per cent on a week-on-week basis.

Markets witnessed sharp volatility in the final trading session, with both indices plunging in early deals. The Nifty dropped over 500 points while the Sensex slid more than 1,500 points after Donald Trump warned of potential military strikes on Iran within weeks, offering limited clarity on diplomatic efforts. However, losses were trimmed by the close.

Among index constituents, HDFC Life Insurance, Sun Pharma, Dr Reddy's Laboratories, NTPC and Cipla emerged as the top laggards for the week.

Broader markets showed a mixed trend. The BSE Midcap 150 index underperformed, falling 0.6 per cent, while the BSE Smallcap 250 index bucked the trend, gaining 0.8 per cent over the same period.

On the sectoral front, realty, healthcare and banking stocks led gains, rising about 3 per cent, 2.7 per cent and 1 per cent respectively. In contrast, metal, power and consumer durables sectors declined by more than 2 per cent each.

Analysts said market sentiment is likely to remain sensitive to geopolitical developments. Elevated crude oil prices — with Brent hovering near $107 per barrel — and uncertainty over global policy responses are expected to keep volatility high.

Any easing of tensions in West Asia could support markets through softer oil prices and improved currency stability. Conversely, further escalation may prolong risk aversion and weigh on foreign investment flows.

Looking ahead, investors will closely monitor key events in the coming week, including the rate decision by the Reserve Bank of India’s monetary policy committee, the release of minutes from the US Federal Open Market Committee, and the start of the fourth-quarter earnings season.

Trading will resume after a three-day break, as markets remain closed on Friday for Good Friday.

With IANS inputs