Crude oil rise and US-Iran tension trigger a sharp sell-off in Indian markets

Indian stock markets ended sharply lower on Friday as a late-session sell-off dragged benchmark indices deep into the red. The BSE Sensex closed at 74,775.74, down 1,092.06 points or 1.44%, while the NSE Nifty50 settled at 23,547.75, falling 359.40 points or 1.50%.

Why Sensex Fell Today

The sharp fall came as Brent crude oil moved near $92 per barrel amid rising geopolitical tension in West Asia. Investors remained cautious over uncertainty around a possible US-Iran truce agreement and reports of missile and drone activity near the Strait of Hormuz, a key global oil shipping route.

Higher crude prices raised concerns over imported inflation for India, which depends heavily on oil imports. This triggered broad-based profit booking across large-cap stocks and weakened market sentiment.

Auto Stocks And Broader Markets Fall

Auto and consumer durable stocks were among the worst hit as investors feared higher fuel costs and inflation pressure. Eicher Motors, InterGlobe Aviation, and ONGC were among the top Nifty50 losers.

Broader markets also stayed weak, with the Nifty MidCap 100 falling 1.33% and the Nifty SmallCap index slipping 0.85%. However, select realty stocks showed some strength.

In stock-specific action, Natco Pharma fell nearly 11% after reporting a 34% year-on-year decline in Q4 net profit. Wockhardt touched an all-time high after CDSCO approval for its antibiotic drug Zaynich, while Larsen & Toubro gained around 2% for the sixth straight session.