Synopsis : Indian equity markets witnessed sharp declines on Friday, with Sensex falling over 800 points and Nifty slipping below the 24,000 mark amid rising geopolitical tensions with Pakistan. Defensive buying lifted defence-related stocks even as most sectors remained under pressure.
Market Mayhem: Geopolitical Heat Drags Markets, Defence Stocks Shine
Indian stock markets plunged sharply on Friday as India-Pakistan tensions intensified, triggering widespread volatility across indices. The BSE Sensex opened with a drop of 1,366 points and, despite recovering marginally, was still down around 670 points at 79,660. Meanwhile, the Nifty 50 broke below the psychological 24,000 level, hovering near 23,990, down 280 points.
The broader market indices also reflected the downbeat sentiment — Nifty MidCap lost 1.15%, and SmallCap tumbled 1.8%, indicating broad-based selling pressure.
Geopolitical Escalation:
Markets reacted strongly after Pakistan launched eight missiles targeting multiple locations in Jammu & Kashmir. Fortunately, India’s air defence units successfully intercepted or neutralised these threats. In response, India countered cross-border violations and drone attacks with retaliatory action, further fueling market jitters.
Sector Snapshot:
Nifty Financial Services, Healthcare, Power, and IT all traded in the red.
Defence stocks bucked the trend, surging on expectations of increased government focus on military capabilities amid rising tensions.
Currency Watch:
The Indian rupee opened weaker, extending Thursday's steep losses — the sharpest since February 2023. The Reserve Bank of India signaled readiness to stabilize the rupee using foreign exchange reserves if needed, according to Bloomberg.
Nifty Technical Outlook:
Support: Immediate support at 23,950. A breach may take the index to 23,450.
Resistance: Upside capped around 24,400–24,550, as per LKP Securities.
Disclaimer : This article is for informational purposes only and does not constitute investment advice. Please consult a licensed financial advisor before making any investment decisions.
.jpg)