Stocks get hit amid Iran-Israel war

Shivani Arora

The ongoing war between Iran and Israel is effecting the whole world including India abruptly and the effect has been seen on Indian Stock Market today. The Nifty 50 index opened lower at 22,339 level and went on to touch an intraday low of 22,264 mark, losing over 1 percent within a few minutes of the opening bell.

At noon trade, the Sensex fell by 467.76 points to 73,777.14, while the Nifty dropped by 135.85 points to 22,383.55. People who invest in Share Market are in loss of lacs. Investors loses 5 lac crores in just 15 minutes of the opening bell. As the government has announced that Indian markets will be closed on April 17, Wednesday on account of the Ram Navami holiday. Factors that are affecting the Indian stock Market are:

  1. General elections

    The lok sabha elections are just few days far the first phase of it is going to start April 19, Friday, where 102 constituencies in 21 states and union territories will vote to elect their Member of Parliament.
  2. Iran-Isreael War

    Tension in the Middle East is the major reason for selling in the Indian equity market as this has put doubts regarding the geo-political uncertainty in the region. Till when it is going to last, nobody knows.
  3. Rise in US dollar rates“US dollar is continuously rising and the US dollar index has come close to 106 levels and the US dollar rate has touched 34-year high against the Japanese Yen. This has spurt the US Treasury yields that has spurt selling in global equity market, which includes the Indian stock market,” said Avinash Gorakshkar of Profitmart Securities.

Apart from this, in the coming days countries like India is going to face the price hike in Crude Oil as Middle East is one of the largest producers of oil.The war could lead to a significant increase in oil prices. When oil prices rise, it can hurt investor sentiment across emerging markets like India. This is because higher oil prices can lead to inflation and slower economic growth.

As a result of these concerns, investors are expected to become cautious and may move their money out of riskier assets like Indian stocks and into safer options like gold. As the trade between Iran and Israel is about 2.5 billion dollars. The market of India is going to suffer a lot just because of this.

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I am Shivani Arora, a media student who is working as a freelancer Content Writer, news writer and social media handler with different agencies. I am a post graduate student who is self motivated and a hardworking person. My main aim is to excel in my career by learning and exploring new things.
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