Indian Stocks Drop Rs 1.75 Lakh Crore on Geopolitical Fears

The Indian stock market experienced a significant downturn last week, with seven of the top 10 most valued companies collectively losing Rs 1.75 lakh crore in market capitalization amid escalating geopolitical tensions in West Asia and global economic uncertainties. The benchmark BSE Sensex declined 949.74 points, or 1.27 percent, to close at 73,583.22, while the NSE Nifty 50 fell 294.9 points, or 1.27 percent, settling at 22,819.60. This marked the fifth consecutive week of losses for both indices, occurring during a holiday-shortened trading period that included closures for Ram Navami and other observances.

The sharp slide was driven primarily by fears of energy supply disruptions from the ongoing US-Iran conflict, which pushed Brent crude oil prices above $100 per barrel, reaching as high as $109.9. The Indian rupee weakened to record lows, breaching 94 against the US dollar and approaching 95, exacerbating concerns over inflation and import costs. Foreign institutional investors (FIIs) continued their selling streak for the fourth week, offloading equities worth approximately Rs 2.73 billion in the equity segment, contributing to a monthly outflow of Rs 12.3 billion....