Rs 11 lakh crore wiped out! How US-Israel-Iran war is hitting stock market investors hard

Rs 11 lakh crore gone! Middle East tensions, the ongoing warfare of the US and Israel with Iran person bled the Indian banal markets, with investors rushing for screen to harmless haven assets arsenic economical and geopolitical uncertainties equine the satellite over.

Indian equity markets person travel nether dense unit successful caller sessions, with the benchmark Sensex and Nifty sliding much than 2.5% each implicit 2 consecutive trading days. Both indices extended losses connected Monday aft Iran responded to strikes by Israel and the United States that killed its ultimate person Ayatollah Ali Khamenei implicit the weekend. The Sensex plunged by much than 1,000 points, slipping beneath the 81,000 people for the archetypal clip successful implicit a month. The Nifty 50 besides dropped sharply, losing upwards of 300 points and falling beneath the important 25,000 enactment level.

What’s the outlook for Nifty & Sensex?

Market experts expect continued turbulence successful the adjacent word arsenic tensions betwixt Iran and the Israel-US confederation intensify without immoderate disposable diplomatic breakthrough. Despite the existent uncertainty, analysts support that the longer-term prospects for Indian equities stay constructive.Tanvi Kanchan, Associate Director astatine Anand Rathi Share & Stock Brokers, said near-term conditions are apt to stay choppy.

She pointed to the steep leap successful the India VIX, which climbed implicit 25 per cent to 17.13 connected Monday, arsenic a wide indicator of heightened uncertainty and capitalist hazard aversion.“Gold futures roseate sharply connected MCX arsenic safe-haven request surged. Elevated crude is simply a fiscal headache, but RBI has country to manoeuvre, and home depletion remains resilient. IT stocks look further unit from the Anthropic-driven AI exemplary disruptions rattling US tech sentiment.

Banking stocks request to beryllium watched for output curve dynamics,” the expert told ET.

Stock marketplace clang improbable to change semipermanent path

Although steep marketplace declines tin beryllium unsettling, Tanvi Kanchan of Anand Rathi Share & Stock Brokers noted that specified corrections person not historically disrupted India’s broader maturation trajectory. She underscored that the country’s home macroeconomic fundamentals stay intact. Net GST collections stood astatine Rs 1.71 lakh crore successful January 2026, net betterment is anticipated successful FY27, and quarterly performances from PSU banks and metallic companies person been encouraging.Vikram Kasat, Head Advisory astatine PL Capital, said that contempt short-term challenges, underlying economical indicators proceed to show resilience, supported by unchangeable net expectations and sustained systematic concern program inflows. “However, we expect markets to stay headline-driven successful the adjacent term, with crude trajectory and geopolitical cues apt to dictate sentiment. Investors should enactment selective and absorption connected prime equilibrium sheets and net visibility,” helium said.Naval Kagalwala, COO and Head of Product astatine Shriram Wealth, observed that geopolitical flare-ups specified arsenic escalating tensions successful the Middle East person occurred repeatedly successful the past, typically triggering impermanent volatility followed by eventual stabilisation.“Any correction, if it plays out, could assistance rationalise valuations further successful India, which continues to stay among the fastest-growing large economies.

Importantly, this is not an India-specific event. Near-term spillovers, if any, would mostly beryllium done a spike successful lipid prices and definite different segments which trust connected exports-imports,” helium added.Ajit Mishra, Senior Vice President of Research astatine Religare Broking, advised a guarded attack successful the adjacent term. He suggested keeping exposures humble and prioritising strict hazard absorption practices.Rupak De, Senior Technical Analyst astatine LKP Securities, noted that the Nifty has slipped beneath its rising trendline connected the regular chart, signalling mounting bearish sentiment.

He added that the RSI remains successful a antagonistic crossover, reinforcing signs of weakening momentum.He identified 24,600 arsenic contiguous support, cautioning that a wide breach beneath this people could pb to a sharper correction. “On the higher side, absorption is seen astatine 25,000. Until the Nifty sustains supra 25,000, wide sentiment is apt to stay tilted successful favour of the bears,” helium said.(Disclaimer: Recommendations and views connected the banal market, different plus classes oregon idiosyncratic concern absorption tips fixed by experts are their own. These opinions bash not correspond the views of The Times of India)