Mumbai (Maharashtra) [India], June 8 (ANI): Indian equity markets ended sharply lower on Monday as fresh tensions in the Middle East dampened investor sentiment and triggered broad-based selling across sectors. Weak global cues and a sell-off in technology stocks further added to market pressure.
The NSE Nifty 50 index closed at 23,123, down 243.70 points or 1.04 per cent, while the BSE Sensex settled at 73,524.26, losing 719.08 points or 0.97 per cent.
Market experts said rising geopolitical tensions in the Middle East and concerns over the sustainability of the global artificial intelligence-led rally weighed on investor confidence.
Vinod Nair, Head of Research at Geojit Investments Limited, said global sentiment has weakened amid the flare-up of tensions in the Middle East.
“Domestic equities outperformed global peers despite ongoing consolidation, reflecting underlying structural resilience. Global sentiment has weakened amid a flare-up of tensions in the Middle East,” he said.
Nair noted that global technology stocks have also witnessed selling pressure as investors begin to question the sustainability of the AI-driven rally.
“Selling pressure was also seen in semiconductor-heavy indices, showing early signs of valuation fatigue and positioning unwind, although it is premature to classify this as a trend reversal,” he added.
According to Nair, strong labour market data from the United States and sticky inflation have increased the possibility of further monetary tightening, leading to higher bond yields and a stronger US dollar.
Sector-wise, almost all major indices on the NSE closed in the red. Nifty Metal was among the worst performers, falling 2.33 per cent. Nifty Auto declined 1.85 per cent, while Nifty Consumer Durables dropped 1.49 per cent. Nifty IT lost 1.23 per cent, and Nifty FMCG closed 0.42 per cent lower.
Meanwhile, Brent crude oil prices surged more than 4 per cent to USD 96.88 per barrel at the time of filing this report, reflecting concerns over global energy supplies amid the ongoing geopolitical tensions.
In the currency market, the Indian rupee weakened by 76 paise to trade at 95.70 against the US dollar.
Precious metals also witnessed declines. Gold prices in India fell 1.43 per cent to Rs 1,53,376 per 10 grams for 24-carat gold, while silver prices declined 2.54 per cent to Rs 2,42,235 per kg.
Other Asian markets also witnessed heavy selling pressure. Japan’s Nikkei index declined more than 4 per cent to close at 63,780, while Singapore’s Straits Times fell 1.74 per cent to 4,963. Hong Kong’s Hang Seng index lost 1.38 per cent to close at 24,622, while Taiwan’s Weighted Index dropped 3.60 per cent to 43,502. South Korea’s KOSPI index witnessed the sharpest decline among major Asian markets, tumbling more than 9 per cent to close at 7,484. (ANI)