Indian stock markets opened sharply lower on Thursday, with benchmark indices sliding over 1 per cent as global tensions and rising oil prices unsettled investor sentiment.
Mumbai: The Indian stock market opened sharply lower on Thursday, with benchmark indices, the BSE Sensex and Nifty 50, dropping more than 1 per cent amid weakened investor sentiment following fresh remarks on the West Asia conflict by US President Donald Trump.
The Sensex opened at 72,262, down 872 points or 1.19 per cent, while the Nifty 50 slipped 1.31 per cent, or nearly 300 points, to 22,383.40 in early trade. Both indices extended losses during the opening session, reflecting broad-based selling pressure.
Sectoral losses drag Indian equities
All major sectors traded in the red, with banking, auto, realty, metals, chemicals and healthcare stocks leading the decline. Key laggards on the Nifty included Sun Pharma, IndiGo, Asian Paints, Shriram Finance, Larsen & Toubro, Axis Bank, Eternal and Trent, contributing to the market downturn.
The sharp fall in Indian equities comes amid rising geopolitical tensions in West Asia, which have triggered risk-off sentiment across global markets.
Trump remarks, West Asia tensions weigh on markets
Investor sentiment weakened after Donald Trump stopped short of outlining a clear roadmap to resolve the escalating West Asia conflict, raising concerns about prolonged geopolitical instability and its impact on global economic growth.
Market participants remain cautious as developments in the region continue to influence crude oil prices, inflation outlook, and capital flows into emerging markets like India.
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Volatility likely amid crude oil, FII activity
Market experts indicated that while the near-term outlook for the Indian stock market remains mildly bullish, volatility is expected to persist. Key triggers include crude oil price movements, foreign institutional investor (FII) activity, and further geopolitical developments.
The Indian rupee also remained under pressure in early trade, although it showed signs of stabilising on the back of improving global risk appetite.
Global cues mixed; oil prices surge
Overnight, US markets closed higher, with the S&P 500 gaining 0.72 per cent and the Nasdaq rising about 1 per cent, offering limited support to domestic equities.
However, Asian markets mirrored the weak sentiment, with indices such as Japan’s Nikkei, Hong Kong’s Hang Seng and South Korea’s KOSPI declining by up to 3 per cent.
Crude oil prices surged sharply amid supply concerns. Brent crude futures jumped over 5 per cent to $106.47 per barrel, while US WTI crude rose 4.5 per cent to $104.64 per barrel, intensifying inflation worries.
FIIs sell, DIIs provide support
On the institutional front, foreign institutional investors (FIIs) remained net sellers, offloading equities worth Rs 8,331 crore on Wednesday. In contrast, domestic institutional investors (DIIs) provided partial support by purchasing shares worth Rs 7,171.80 crore.
With global uncertainty persisting, analysts expect the Indian stock market to remain sensitive to external cues, particularly developments in West Asia and fluctuations in crude oil prices.
Published: 02 Apr 2026, 09:49 am IST
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