Sensex tanks 892 points, Nifty slips 258 points at open as Middle East tensions and $100 Brent crude rattle markets; Shriram Finance, Infosys, IndiGo drag
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Indian equity benchmarks opened sharply lower on Friday, as investor sentiment turned weak amid escalating geopolitical tensions in the Middle East, a surge in crude oil prices and weak global cues. Brent crude climbed above the $100-a-barrel mark, jumping about 7% from the previous day’s close of around $94. Weakness in global technology stocks and disappointment over Infosys’ earnings outlook also weighed on domestic markets.
Investor sentiment also remained cautious after the US retained a 10% tariff on Indian goods under its latest trade action, prolonging uncertainty around the proposed India-US trade agreement and keeping concerns alive over the outlook for export-oriented sectors.
The BSE Sensex was down 892.51points, or 1.17%, at 75,498.88, while the NSE Nifty50 fell 257.95 points, or 1.08%, to 23,611.65 in early trade.
Among the top laggards on the Nifty50, Shriram Finance fell 2.77%, followed by InterGlobe Aviation, which declined 2.41%. Eternal slipped 2.37%, Bajaj Finance was down 2.24%, while UltraTech Cement lost 1.68%.
Infosys emerged as one of the key stocks in focus after reporting a 12% year-on-year rise in consolidated net profit to ₹7,769 crore for the June quarter. However, the IT major trimmed the upper end of its FY27 revenue growth guidance, disappointing investors despite the earnings beat. The stock fell around 2% in early trade as investors reacted to the cautious outlook, with several brokerages maintaining a guarded stance.
(IndiGo) declined 2.41% after its June-quarter earnings missed Street expectations. The airline reported a sharp decline in operating profit and slipped to an adjusted loss of ₹380 crore, compared with an adjusted profit of ₹2,160 crore a year earlier, as higher fuel costs offset stronger yields. The rise in Brent crude oil prices, a key cost driver for airlines, further weighed on sentiment.
On the gaining side, Cipla rose 2.6%, HCLTech advanced 1.11%, Nestle India gained 0.70%, Tata Consumer Products added 0.55%, and TCS edged up 0.19%.
What analysts are saying
Ponmudi R, CEO of Enrich Money, said Indian equities were set for a weak start as investors remained cautious amid escalating geopolitical tensions in the Middle East and the sharp rise in global crude oil prices. He noted that higher energy prices have revived inflation concerns, lifted U.S. Treasury yields and reinforced a broader risk-off sentiment across global markets.
He added that the widening U.S.-Iran conflict has become the dominant risk for financial markets, with the rally in crude oil intensifying concerns over global growth. According to Ponmudi, the IT sector is also likely to remain under pressure after Infosys lowered the upper end of its FY27 revenue growth guidance despite reporting a rise in quarterly profit, while the ongoing earnings season is expected to drive stock-specific moves based on management commentary and forward guidance.