Dalal Street’s main indices opened on a cautious note on Friday as global volatility and escalating US–Iran tensions continued to weigh on investor sentiment. The benchmark indices were largely flat in early trade, reflecting the jittery mood across markets.
At around 9:16 am, the S&P BSE Sensex was trading 10.44 points lower at 82,487.70, while the Nifty 50 inched marginally higher to stay above the 25,450 mark.
The broader market displayed a mixed trend, suggesting that sector-specific moves will be crucial through the session. Notably, weakness persisted in the IT pack, extending the downtrend that has dominated the week.
The sharp rise in geopolitical tensions remains the biggest overhang on sentiment. Elevated uncertainty after fresh statements from Washington and Tehran has pushed global markets into a risk-off zone, spilling over into domestic equities as well.
Dr. VK Vijayakumar, Chief Investment Strategist at Geojit Financial Services, said the escalation has left markets “on tender hooks.”
“The sharp spike in Brent crude to Rs72 reflects growing fear and uncertainty in markets. President Trump’s warning that ‘Iran has 10 to 15 days to strike a deal or bad things happen’ has put the markets on tender hooks. Whether there will be a deal after the standoff, or whether missiles will fly will determine the market behaviour in the near term. The continuing weakness in IT stocks is another dampener for the market,” he said.
Vijayakumar added that despite the noise, India’s economic fundamentals remain supportive.
“Amidst the many crises, the strength of the Indian economy and the recovery in corporate earnings, as reflected in Q3 numbers, are positives. If the US–Iran standoff is resolved in the coming days, the market will bounce back. Investors who are optimistic about a possible deal can use the current weakness to buy fairly valued, high-quality stocks across banking and financials, autos, pharmaceuticals, hotels, capital goods and telecom.”
On the technical front, James, Chief Market Strategist at Geojit, said the recent price action has shifted the Nifty’s near-term texture.
“While the approach to 25,900 was expected to see a slowdown in momentum, the hammering from this region was unexpected. The bearish engulfing candlestick has effectively ended the uptrend of the last few days. However, the steepness of the fall may allow a recovery move, ideally towards 25,580. Alternatively, Nifty may consolidate inside the 25,450–25,180 band, with low likelihood of a further collapse today.”
With global cues expected to remain volatile, investors are likely to stay cautious. Movements in crude oil, the rupee and developments in the US–Iran standoff will remain key drivers for market direction through the day.
