Indian stock markets fell sharply following the flare-up of the US-Iran crisis, after President Trump stated that the ceasefire with Iran had ended. At the time of reporting, the Nifty 50 stood at 23,882.85, down 515.85 points or 2.11 percent, while the BSE Sensex dropped to 25,012.97, losing 1,711 points or 2.19 percent.
The decline affected all sectors, with auto, FMCG, and oil and gas leading the losses, each falling more than 2 percent.
Key factors behind the drop include renewed US-Iran tensions after American forces struck Iran following accusations that Tehran targeted three vessels in the Strait of Hormuz. Iran responded with strikes on Bahrain and Kuwait, according to reports.
Oil prices rose nearly 6 percent after Trump declared the interim agreement with Iran over, though he noted that talks would proceed. Brent crude climbed 5.6 percent above $78 a barrel, and US benchmark crude gained 5.8 percent to reach $74.55 a barrel.
The India VIX fear index rose to 27 percent, reflecting increased investor uncertainty.
With oil prices rising due to supply concerns and volatility measures indicating caution, Indian markets are expected to remain under pressure until greater clarity emerges on the status of the US-Iran ceasefire.
