Indian Stocks Rebound Slightly Amid US-Iran Escalation Fears

Indian stock markets staged a partial recovery on Thursday after opening sharply lower, as benchmark indices rebounded from intraday lows amid renewed fears of escalation in the US-Iran war following comments by President Donald Trump. The BSE Sensex closed up 185.23 points, or 0.25 percent, at 73,319.55, while the NSE Nifty ended 33.70 points higher, or 0.15 percent, at 22,713.10. Both indices had plunged over 2 percent early in the session before value buying in IT and banking stocks helped limit losses.

The downturn began after Trump, in a national address, stated that the United States would "hit Iran extremely hard" over the next two to three weeks to complete core strategic objectives in the conflict. This dashed hopes for a swift resolution, pushing Brent crude oil prices above 108 dollars per barrel, a surge of more than 7 percent. Analysts noted that prolonged conflict could keep energy costs elevated, intensifying inflation pressures and constraining global growth. "The market rebound will depend on the duration of the conflict in West Asia," said VK Vijayakumar, chief investment strategist at Geojit Financial Services. "If the war prolongs and crude prices remain...