Sensex, Nifty Volatile in Early Trade Amid Israel-Iran Conflict; Oil & Defence Stocks in Focus
Indian stock markets show early volatility as tensions rise between Israel and Iran. Sensex, Nifty react to global uncertainty, with oil, defence, and energy stocks drawing investor attention
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Indian benchmark indices — Sensex and Nifty — witnessed volatility during early trading on Monday as global markets remained cautious amid renewed geopolitical tensions between Israel and Iran.
The conflict has sparked investor uncertainty across the globe, pushing crude oil prices higher and raising concerns over potential supply disruptions in the Middle East. In India, sectors linked to oil & gas, defence, and commodities came under sharp focus, while technology and financial stocks showed mixed movement.
At 9:30 AM, the BSE Sensex was trading marginally lower, while the Nifty 50 hovered near the flatline. Broader indices also reflected cautious sentiment, with volatility indicators inching higher.
Key Market Drivers:
Rising crude oil prices due to Middle East tensions
Investor shift towards safe-haven assets like gold
Potential impact on inflation and import costs for India
Buying interest seen in defence, PSU, and energy counters
Experts believe that sustained geopolitical instability could weigh on emerging markets, including India, particularly if crude prices continue their upward trend. Market participants are advised to stay cautious and track developments closely.
Meanwhile, defence stocks such as HAL and Bharat Dynamics, and oil & gas majors like ONGC and Reliance saw buying interest amid expectations of increased government spending and demand for strategic reserves.
