Stock market today: Nifty50 and BSE Sensex, the Indian equity benchmark indices, tanked in opening trade on Monday following global cues. While Nifty50 went below 24,900, BSE Sensex was down over 800 points. At 9:58 AM, Nifty50 was trading at 24,855.85, down 257 points or 1.02%. BSE Sensex was at 81,568.05, down 840 points or 1.02%.The escalating Israel-Iran conflict and US involvement are expected to influence market performance on Monday. Market analysts indicate that global factors will be crucial, as investors monitor US manufacturing and services PMI data, alongside geopolitical developments. The market outlook suggests consolidation with expected volatility.VK Vijayakumar, Chief Investment Strategist, Geojit Investments Limited says, “Even though the US bombing of Iran’s three nuclear facilities has worsened the crisis in West Asia, the impact on the market is likely to be limited. The uncertain factor now is the timing and nature of the Iranian response. If Iran targets and damage the US defence facilities in the region or hurts US military personnel seriously, the US response can be huge and this might further worsen the crisis. But the market assessment is that there are limits to what Iran can do against US and Israel. That’s why the early market responses – crude prices, US futures, absence of panic in Asian markets – have been muted.”“Even though the possibility of the closure of Hormuz Strait is a threat, it is important to understand that this has always been only a threat and the Strait had never been closed. The fact is that the closure of Hormuz Strait will harm Iran and Iran’s friend China more than anyone else. The market construct continues to favour a ‘buy on dips’ strategy.”Early Monday trading in Asia showed declining US stock-index futures and rising oil prices following US attacks on Iranian nuclear facilities. Asian stocks showed weakness.Gold prices increased slightly on Monday as investors sought safe-haven assets amidst growing concerns about Middle East tensions, with markets awaiting Iran’s reaction to US strikes on its nuclear installations.Oil prices surged on Monday, reaching their peak since January, following America’s decision to support Israel in targeting Iranian nuclear installations, raising concerns about supply disruptions.Foreign portfolio investors purchased shares worth Rs 7,940 crore net on Friday, whilst domestic institutional investors recorded net sales of Rs 3,040 crore.Foreign institutional investors reduced their net short positions in the futures market from Rs 96,962 crore on Thursday to Rs 96,368 crore on Friday.(Disclaimer: Recommendations and views on the stock market and other asset classes given by experts are their own. These opinions do not represent the views of The Times of India)
