Mumbai (Rajeev Sharma): Indian stock markets started the week on a weak note, with benchmark indices witnessing a steep decline in early trade on Monday, driven by surging oil prices and escalating global uncertainties.
The BSE Sensex slipped sharply at the opening bell, losing over 1,600 points, while the Nifty 50 dropped around 400 points, reflecting a broad-based sell-off across sectors.
The fall follows a spike in international crude oil prices, with Brent crossing the $100-mark after diplomatic efforts between the United States and Iran failed to yield any breakthrough. Concerns over a potential disruption in oil supply intensified after indications of a possible maritime blockade targeting Iranian ports, alongside rising tensions in the Middle East.
All major sectoral indices traded in negative territory, highlighting the extent of the market weakness. Public sector banks and real estate stocks led the losses, each declining more than 3 per cent. Other sectors such as automobiles, banking, financial services, media, and oil & gas also saw heavy selling pressure, dropping over 2 per cent.
Market participants remained cautious amid fears that higher crude prices could fuel inflation and widen India’s current account deficit. The uncertainty surrounding global developments has further dampened investor sentiment, prompting traders to adopt a risk-off approach.
Experts believe that markets may remain volatile in the coming sessions, as investors track geopolitical developments and their potential impact on global energy supplies and economic stability.
