Indian markets tumble as West Asia tensions and oil price spike rattle investors

Indian equity markets opened sharply lower on Monday as escalating tensions in West Asia and a steep rise in crude oil prices triggered widespread selling across sectors.

The benchmark Sensex dropped as much as 892 points in early trade to touch an intraday low of 74,345, while the Nifty fell 272 points to 23,371. The decline followed weak global cues and growing concerns over the economic impact of the ongoing conflict involving the United States and Iran.

The Sensex had opened 430 points lower at 74,807.97, while the Nifty started the session down 161 points at 23,482.20 before losses deepened during the morning session.

Most sectoral indices traded in negative territory, with consumer durables, realty, automobiles, metals, banking, FMCG, cement and chemicals stocks witnessing heavy selling pressure. Information technology emerged as the lone sector in the green, supported by gains in select IT shares.

Among the major laggards on the Nifty were Power Grid, Tata Steel, Shriram Finance, Maruti Suzuki, Eicher Motors, Mahindra & Mahindra, Titan, HDFC Bank, Bajaj Finance and IndiGo, all of which declined between 1 and 3 per cent.

Market volatility also increased significantly, with the India VIX index climbing nearly 6 per cent to hover around the 20 mark, reflecting heightened investor anxiety.

Analysts said investor sentiment remained fragile due to concerns over rising crude oil prices and the possibility of prolonged geopolitical instability in West Asia.

With IANS inputs