Mumbai: After dropping nearly 500 points to 74,701.51 in morning trade on Wednesday, the BSE Sensex bounced back and traded with losses of 13 points at
75,187.84. The NSE Nifty also made a strong comeback after declining 162.85 points to 23,455.15. The broader index traded in positive territory at 23,624.05.
The Stock Market benchmark equity indices faced a volatile session due to elevated oil prices, weak global market trends and renewed fears of restart of military operations if Iran failed to reach a peace deal.
Laggards from the 30-Sensex pack: Mahindra & Mahindra, Maruti, Eternal, UltraTech Cement, Tata Steel, and Bharat Electronics. Gainers included, Reliance Industries, Tech Mahindra, Infosys, and Tata Consultancy Services.
Brent crude, the global oil benchmark, traded at USD 110.8 per barrel level.
Japan’s Nikkei 225 index, Shanghai’s SSE Composite index, Hong Kong’s Hang Seng, and South Korea’s benchmark Kospi traded lower. The US stock markets settle lower on Tuesday.
“Broader Asian markets opened under pressure after renewed concerns emerged around potential escalation in the Middle East. Investor sentiment weakened following US President Donald Trump’s statement that he was an hour away from authorizing military action against Iran before eventually postponing the decision.
“The development has once again revived fears surrounding geopolitical instability, global energy supply disruptions, and volatility in crude oil markets,” Hariprasad K, Research Analyst and Founder, Livelong Wealth, told PTI.
Foreign Institutional Investors (FIIs) sold equities worth Rs 2,457.49 crore on Tuesday, according to exchange data.
On Tuesday, the 30-share Sensex went down 114.19 points to end at 75,200.85. The 50-share Nifty slipped 31.95 points to finish at 23,618.
WTI Crude, US Dollar Index
WTI crude traded above $104 per barrel on Wednesday after recovering from earlier pressure as markets monitored escalating tensions between the US and Iran. President Donald Trump warned that Washington could resume military strikes within “two or three days” if Iran failed to accept US peace terms, despite previously canceling a planned attack following appeals from Gulf allies.
The US Dollar Index hovered near 99.4 on Wednesday, reaching six-week highs as escalating US-Iran tensions increased inflation concerns across global markets. President Donald Trump warned that the US could resume strikes on Iran within “two or three days” if Tehran rejected Washington’s peace terms. C
Silver traded below $75 an ounce on Wednesday after plunging more than 5% in the previous session as markets reacted to escalating US-Iran tensions and rising inflation concerns.
Gold traded below $4,500 an ounce on Wednesday after tumbling nearly 2% in the previous session as investors focused on rising inflation risks and the possibility of higher US interest rates.
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