Mumbai, Aug 17: Indian benchmark equity indices opened lower on Monday as persistent uncertainty over the US-Iran conflict and elevated crude oil prices weighed on investor sentiment.
The Nifty 50 opened at 24,343.45, down 22.55 points, or 0.09 per cent, while the BSE Sensex fell more than 100 points to 77,892.92, declining around 0.15 per cent in early trade.
The weakness came amid renewed concerns over the global energy supply outlook as US-Iran peace efforts remained stalled. Brent crude was trading around $89 a barrel, with oil prices continuing to reflect risks surrounding shipping through the strategically important Strait of Hormuz.
The rise in crude prices is a particular concern for India, which remains heavily dependent on imported oil. Higher energy costs can put pressure on inflation, the country’s trade balance and corporate margins, while also weighing on the rupee.
The Indian currency opened weaker at around Rs 95.49 against the US dollar, although dollar sales by state-run banks helped limit the decline, according to market traders.
Sectorally, financial, banking and FMCG stocks came under pressure in early trading, while some pharmaceutical and metal stocks showed resilience. Market participants are expected to remain focused on developments in the Middle East, crude oil movements, foreign fund flows and upcoming domestic economic cues.
Analysts expect the market to remain range-bound with a cautious bias as investors assess the impact of elevated oil prices and geopolitical risks. The lack of a clear resolution to the US-Iran conflict remains a key near-term trigger for both global and Indian equities.
The Indian market had already ended lower on Friday, with the Nifty declining 29.85 points, or 0.12 per cent, to 24,366, while the Sensex fell 70.71 points, or 0.09 per cent, to 78,009.25.