Last Updated on March 2, 2026 10:52 pm by INDIAN AWAAZ
AN /BIZ DESK
Domestic equity markets suffered a brutal sell-off on Monday, March 2, 2026, as escalating geopolitical tensions between the US and Iran sent shockwaves through global financial hubs. The Indian benchmark indices plunged to their lowest levels since September 2025, driven by a spike in crude oil prices and a massive surge in market volatility.
The BSE Sensex plummeted 1,048.34 points (1.29%) to settle at 80,238.85, while the NSE Nifty 50 shed 312.95 points (1.24%) to finish at 24,865.70. The day began with a deep gap-down start, and while indices recovered slightly from their intraday lows, the sentiment remained overwhelmingly bearish.
The Fear Factor: India VIX Skyrockets
Investor anxiety was palpable as the India VIX, often referred to as the “fear gauge,” surged by a staggering 25.01% to end at 17.13. This spike reflects a rapid shift toward risk aversion, as traders braced for potential supply chain disruptions and inflationary pressures stemming from the West Asia conflict.
“Rising crude oil prices and a weakening INR reflect concerns over potential disruptions… investors are rotating toward traditional safe-haven assets,” noted Vinod Nair of Geojit Investments.
Sectoral Performance: Winners and Losers
The carnage was widespread, with the broader markets—MidCaps and SmallCaps—underperforming the frontline indices. However, a few defensive pockets managed to stay in the green.
| Sector | Change (%) | Market Sentiment |
| Nifty Auto | -2.20% | Worst Performer: Hit by fuel price fears and supply chain worries. |
| Nifty Metal | +0.24% | Top Gainer: Boosted by safe-haven demand for bullion and metals. |
| Nifty IT | Negative | Pressured by global risk-off sentiment. |
| Nifty Bank | -1.14% | Slipped below the psychological 60,000 mark. |
| Nifty Pharma | Positive | Sun Pharma led the defensive buying. |
Stock Highlights
The Draggers (Heavyweight Losers)
- InterGlobe Aviation (IndiGo): Crumbled 6.09% to ₹4,533.00 as rising crude prices threatened aviation turbine fuel (ATF) costs.
- Larsen & Toubro (L&T): Dropped 5.24% to ₹4,054.00 amid fears of project delays in the Middle East.
- Maruti Suzuki: Fell 3.29% as the auto sector bore the brunt of the selling pressure.
The Resilient (Top Gainers)
- Bharat Electronics (BEL): Rose 2.13% to ₹454.15, benefiting from the focus on defense readiness.
- Hindalco: Gained 1.70% as metal prices edged higher globally.
- ONGC: Advanced 0.63% as a beneficiary of surging Brent crude prices, which jumped 6–10% intraday.
The Road Ahead: Technical Outlook
Technically, the Nifty 50 remains under significant bearish pressure. Analysts suggest that the index must reclaim the 25,000 level to signal a reversal. Immediate support is pegged at 24,700–24,500.
With the Holi holiday approaching and the Rupee weakening against the US Dollar, market participants are advised to maintain a cautious stance. The direction of the market for the remainder of the week will likely be dictated by headlines from the Strait of Hormuz and the subsequent movement in energy prices.