Indian Stock Market Today: Nifty Seen Opening Lower After Iran-Hormuz Crisis Sparks Oil Price Rally
Indian stock markets are expected to begin Monday’s trading session on a cautious note as rising geopolitical tensions in the Middle East send oil prices sharply higher and rattle investor confidence.
GIFT Nifty futures were trading around 24,042.5 early Monday morning, pointing to a weaker start for the Nifty 50, which had closed Friday at 24,206.9.
Why is the market under pressure?
The biggest trigger is the renewed conflict between the United States and Iran.
Over the weekend, both countries reportedly exchanged missile and drone attacks, with Iran claiming it has once again closed the Strait of Hormuz—one of the world’s most important oil shipping routes.
The narrow waterway handles nearly 20% of global petroleum trade, making any disruption a major concern for global energy markets.
As fears of supply disruptions grew, Brent crude oil surged more than 4%, climbing above $79 per barrel. Higher oil prices typically increase inflation risks for oil-importing nations like India and can reduce expectations of interest rate cuts, creating fresh pressure on equity markets.
Nifty and Sensex already under pressure
Indian benchmark indices had already ended last week in the red as investors reacted to escalating Middle East tensions.
Both the Nifty 50 and the BSE Sensex slipped around 0.3% during the week, ending a four-week winning streak.
However, the losses were limited thanks to strong corporate earnings and continued buying from overseas investors.
Technology giant Tata Consultancy Services (TCS) delivered better-than-expected quarterly results, helping improve overall market sentiment.
Foreign investors continue buying India
Despite global uncertainty, foreign institutional investors (FIIs) have continued to show confidence in Indian equities.
According to provisional exchange data, overseas investors purchased Indian shares worth ₹2,604 crore on Friday alone.
So far in July, FIIs have invested nearly $1.6 billion into Indian markets after remaining net sellers for four straight months—a positive sign that continues to support market sentiment.
Stocks to watch today
Several companies could remain in focus during Monday’s session:
- LTIMindtree (LTIM): The IT company reported an 18% jump in first-quarter revenue, while net profit increased 17.1%, reflecting strong demand for digital transformation services.
- Avenue Supermarts (D-Mart): The retail giant posted higher revenue and profit for the April-June quarter, with operating margins improving slightly to 8.3%, indicating resilient consumer demand.
What investors should watch next
Markets are likely to remain highly sensitive to developments in the Middle East over the coming days.
If crude oil continues to rise or tensions around the Strait of Hormuz escalate further, sectors such as aviation, paints, chemicals and other oil-dependent industries could face additional pressure.
At the same time, sustained foreign inflows and strong corporate earnings could help cushion declines if global risks begin to ease.
For now, investors should brace for a volatile start to the trading week as geopolitical headlines continue to drive market sentiment.