Markets Hold Steady Despite Iran-Israel Conflict; Sensex, Nifty Edge Up

Markets Open Lower But Rebound Amid Israel-Iran Tensions; Sensex, Nifty in Green.

Indian benchmark indices recovered early losses to trade in the green on Wednesday, even as tensions in the Middle East between Israel and Iran continued to escalate. Investor sentiment remained cautious, but largely resilient.

At 9:28 am, the S&P BSE Sensex rose by 118.37 points to 81,701.67, while the NSE Nifty50 gained 61.65 points to reach 24,913.45.

According to Dr. VK Vijayakumar, Chief Investment Strategist at Geojit Financial Services, “President Trump’s latest tweet and recent U.S. defence movements in West Asia indicate worsening geopolitical tensions.” However, he added, “There is no sign of panic in global equity markets, suggesting that investors expect the conflict to be short-lived and unlikely to derail the global economic outlook.”

Stock Highlights
The Sensex had a mixed start, with IndusInd Bank leading the gainers, surging 5.05%, followed by Maruti Suzuki (+2.10%), Mahindra & Mahindra (+1.97%), Bajaj Finance (+0.92%), and Titan (+0.76%).

On the downside, Adani Ports declined 0.80%, Kotak Mahindra Bank fell 0.70%, PowerGrid dropped 0.65%, while Infosys and Nestle India were marginally lower.

Broader Market & Sectoral Performance
Broader markets posted gains, with the Nifty Smallcap index rising 0.35% and Nifty Midcap up 0.19%. The India VIX, a measure of market volatility, slipped 0.39%, indicating relative calm among investors.

Among sectors, Nifty Auto led with a 1.36% rise, followed by Nifty Realty (+0.68%), Consumer Durables (+0.60%), Private Bank (+0.36%), and Pharma (+0.32%).

Conversely, Nifty Media fell 0.28%, Nifty IT lost 0.17%, and Nifty Metal slipped 0.16%. FMCG and Oil & Gas sectors remained flat.

Vijayakumar noted that since the post-Covid lows in March 2020, Indian markets have been in a consistent bull run, withstanding multiple challenges. “This phase, too, appears to be another wall of worry the market may climb, supported by strong liquidity and optimism over earnings recovery,” he said.