Benchmark indices opened sharply lower on Monday morning, weighed down by surging crude oil prices, a weakening rupee, and fresh geopolitical tensions in the Middle East, with the Sensex tumbling over 790 points and the Nifty breaching key support levels in early trade.
The BSE , which closed at 75,237.99 on Friday, opened at 74,807.97 and was trading at 74,447.73, down 790.26 points or 1.05 per cent, as of 9.18 AM. The NSE , which ended Friday’s session at 23,643.50, opened at 23,482.20 and fell further to 23,393.45, a decline of 250.05 points or 1.06 per cent, at the same time.
Gaurav Udani, Founder of ThinCredBlu Securities Ltd., said the index “remains under pressure after slipping below important support zones,” adding that “a sustained move below 23,400 could trigger further selling pressure and drag Nifty towards the 23,100 zone.”
The primary trigger for Monday’s selloff is crude oil. Brent crude futures surged to $111.28 per barrel, up 1.85 per cent, while WTI crude rose to $103.22, up 2.18 per cent, following reports of drone attacks on the UAE and Saudi Arabia. On India’s Multi Commodity Exchange, May crude futures jumped 2.81 per cent to ₹10,363, while June futures rose 2.86 per cent to ₹9,962.
Ponmudi R, CEO of Enrich Money, noted that the rupee has now “breached the 96 mark against the U.S. dollar, reflecting continued weakness amid elevated crude oil prices, strong dollar demand, and cautious global sentiment.” He added that “elevated crude prices continue to remain a major macro concern for India due to their impact on inflation, import costs, and rupee stability.”
Among the Nifty50 losers, Tata Steel was the biggest drag, falling 3.80 per cent to ₹208.60 from a previous close of ₹216.84. Power Grid Corporation declined 3.33 per cent to ₹295.65 against a previous close of ₹305.85. HDFC Life Insurance slipped 2.15 per cent to ₹595.60 from ₹608.70, while Shriram Finance dropped 2.12 per cent to ₹918.05 from ₹937.90. Titan Company fell 1.94 per cent to ₹4,088.40 from its previous close of ₹4,169.10.
Dr. VK Vijayakumar, Chief Investment Strategist at Geojit Investments Limited, warned that “elevated crude may force another round of price hikes in petrol and diesel, which will have negative implications for inflation,” and that “rupee may further depreciate aggravating the vicious cycle of rupee depreciation and FPI selling.”
Information technology stocks held firm against the broader market weakness. Infosys led the gainers, rising 0.79 per cent to ₹1,127.80 from a previous close of ₹1,119. TCS edged up 0.39 per cent to ₹2,272.90 from ₹2,264, while Wipro gained 0.26 per cent to ₹190.50 from ₹190. Tech Mahindra added 0.15 per cent, trading at ₹1,372.50. JSW Steel was the sole metal stock bucking the trend, rising 0.52 per cent to ₹1,285.50 from ₹1,278.80.
Shrikant Chouhan, Head of Equity Research at Kotak Securities, noted that last week “Realty declined by 8.45 percent and IT by 5.80 percent, whereas Healthcare and Pharma indices outperformed, rallying over 2 percent.” He added that IT’s relative resilience is notable given that “export-oriented sectors like pharmaceuticals will continue to be resilient” — a view echoed across analyst circles.
Saurav Ghosh, Co-founder of Jiraaf, said “Indian bond markets have remained under pressure for over a month now, with the 10-year G-Sec yield staying elevated and recently moving above 7 per cent amid rising global uncertainty,” pointing to the Iran–US conflict as the latest trigger. He added that “for India, persistently high crude prices raise imported inflation risks, reducing the RBI’s flexibility on rate cuts.”
Wall Street closed sharply lower on Friday, with the S&P 500 falling 1.24 per cent, the Dow Jones losing 537 points, and the Nasdaq declining 1.54 per cent. Asian markets opened broadly negative Monday, with South Korea’s Kospi down over 3 per cent and Japan’s Nikkei slipping more than 200 points. The US 10-year Treasury yield rose to 4.62 per cent, adding pressure on emerging market equities. Gold was near $1,450, silver below $17.70, and copper at $6.
Rajesh Palviya, Head of Research at Axis Direct, flagged that “bulls need a daily close above 23,700 to continue the recovery toward 24,000, while 23,500 remains a crucial support level,” warning that “failure to hold the opening zone could quickly bring 23,400–23,350 into play.”