Geopolitical Heat and Margin Pressures Weigh on Dalal Street; Nifty Slips Below 24,200
By Our Business Correspondent
Domestic equity benchmarks ended lower on Friday for the second consecutive session as escalating geopolitical tensions between the United States and Iran triggered a sharp rise in crude oil prices, weakened the rupee and heightened concerns over inflationary pressures and India’s import bill. Investors also remained cautious ahead of key global developments and continued to track fourth-quarter earnings for fresh market direction.
The benchmark indices witnessed sustained selling pressure, particularly in banking and financial counters, after Brent crude prices crossed the psychologically important $100-a-barrel mark amid fears of disruptions in the Strait of Hormuz, a crucial global oil shipping route. The weakness in the Indian currency against the US dollar further dampened investor confidence.
The BSE Sensex declined 516.33 points, or 0.66 per cent, to close at 77,328.19, while the NSE Nifty50 slipped 150.50 points, or 0.62 per cent, to settle at 24,176.15. Over the last two trading sessions, the Sensex has lost nearly 0.8 per cent while the Nifty has fallen around 0.63 per cent.
Market participants said the combination of rising crude prices, elevated global uncertainty and concerns over imported inflation prompted investors to reduce exposure to rate-sensitive sectors such as banking and financial services. Shares of State Bank of India, HDFC Bank and ICICI Bank emerged among the biggest drags on the indices.
State Bank of India tumbled more than 6 per cent after the country’s largest lender reported softer sequential profitability and weaker net interest margins in the March quarter despite improved asset quality. HDFC Bank and ICICI Bank also ended lower amid broader weakness in financial stocks.
Despite the decline in frontline benchmarks, broader markets showed relative resilience. The BSE MidCap index slipped marginally by 0.05 per cent, while the SmallCap index edged up 0.15 per cent, indicating selective buying interest in non-index stocks. Market breadth, however, remained negative, with declining shares marginally outnumbering advancing counters on the BSE.
Volatility remained elevated during the session. India VIX, often referred to as the market’s fear gauge, rose 1.32 per cent to 16.84, reflecting increased uncertainty among investors.
In the currency market, the rupee weakened further against the dollar and hovered near the 94.45 level compared with the previous close of 94.22. Analysts said rising crude oil prices and persistent foreign fund outflows continued to pressure the domestic currency.
Bond yields also hardened, with the yield on India’s benchmark 10-year government security rising to 6.974 per cent from 6.933 per cent in the previous session, signalling concerns over inflation and borrowing costs.
Commodity markets remained in focus as Brent crude for July 2026 settlement climbed above $100 per barrel. Gold prices also moved higher, with MCX gold futures gaining 0.33 per cent to Rs 1,52,757 per 10 grams as investors shifted towards safe-haven assets amid geopolitical uncertainty.
| Index | Closing Value | Change (Points) | Change (%) |
| S&P BSE Sensex | 77,328.19 | -516.33 | -0.66% |
| Nifty 50 | 24,176.15 | -150.50 | -0.62% |
| BSE MidCap 150 | — | -2.50 (approx) | -0.05% |
| BSE SmallCap 250 | — | +1.20 (approx) | +0.15% |
Global markets remained mixed. Most Asian indices ended lower following reports of renewed exchanges of fire between the US and Iran in the Strait of Hormuz. European markets also traded weak after US President Donald Trump warned of “much higher” tariffs on the European Union.
On Wall Street, US markets ended lower overnight after investors reacted cautiously to developments in West Asia and volatility in oil prices. Technology and semiconductor stocks witnessed profit-booking after recent gains.
Among individual stocks in India, Titan Company surged nearly 5 per cent after reporting strong growth in quarterly profit and revenue, driven by robust jewellery demand. Dabur India, Thermax, Sonata Software and Thyrocare Technologies also posted notable gains following healthy earnings performance.
Thermax was among the standout performers, rallying nearly 12 per cent after reporting robust order inflows and a sharp rise in order backlog, reflecting improving industrial demand. Sonata Software climbed close to 10 per cent after posting higher profits despite a sequential decline in revenues.
On the losing side, Britannia Industries slipped over 5 per cent despite reporting growth in quarterly earnings, while Lupin, Route Mobile and Shakti Pumps also witnessed sharp declines after mixed earnings reactions.
Meanwhile, shares of fintech company Onemi Technology Solutions (Kissht) made a strong stock market debut, listing at a premium to its issue price and attracting healthy investor participation.
Market experts said investor sentiment is likely to remain sensitive to developments in the US-Iran conflict, movements in crude oil prices, currency fluctuations and ongoing corporate earnings announcements. Traders are also expected to closely monitor foreign institutional investor activity and global central bank signals for further cues.
Disclaimer: This report is based on market data, company filings and brokerage inputs available at the time of publication. Investors are advised to consult certified financial advisers before making investment decisions.