Sensex drops 0.2% as Middle East risks and oil pressure
India’s BSE Sensex falls about 0.2% to 77,234 and Nifty 50 slips, with 14 of 16 sectors lower as crude oil rises and markets brace for monthly derivatives expiry volatility.
India’s BSE Sensex fell about 0.2% to 77,234 on Tuesday, extending losses from the previous session, as investor sentiment remained cautious amid persistent geopolitical tensions in the Middle East and ahead of the Nifty 50 monthly derivatives expiry.
The Nifty 50 also slipped, with 14 of 16 major sectors trading lower, while rising crude oil prices added to pressure on Indian equities.
Markets were also bracing for increased volatility as Tuesday marked the first monthly Nifty derivatives expiry under the new closing-auction system.
Global sentiment remained subdued ahead of Nvidia’s earnings and amid renewed tensions between the United States and Iran.
Despite near-term headwinds, foreign portfolio inflows have provided some support, with investors buying more than $2.5 billion of Indian equities in August, helping offset pressure from high oil prices and geopolitical uncertainty.
Leading the losses were Hindustan (-6.7%), IIFL Finance (-3.1%), Netweb (-3.0%), and TCS (-0.8%).