Operation Sindoor impact on stock market right now: How will Nifty50, BSE Sensex react to rising India-Pakistan tensions?

Kaumi GazetteBusiness9 May, 20258.2K Views

Market uncertainty is probably going to proceed as individuals monitor ongoing developments between India and Pakistan. (AI picture)

Operation Sindoor impact on Indian stock market right now: Indian fairness benchmark indices, Nifty50 and BSE Sensex, are anticipated to open in crimson on Friday after continued escalation of tensions between India and Pakistan. Indian stock market’s response to the continuing India-Pakistan tensions has until now been comparatively muted.In truth, for the reason that April 22 Pahalgam terror assault in Jammu and Kashmir, Nifty50 and BSE Sensex are literally up.Pakistan stock market on the opposite hand has crashed. Experts imagine that the Indian stock market’s basic resilence will proceed to work in its favour, regardless of quick time period volatility.Dr. VK Vijayakumar, Chief Investment Strategist, Geojit Investments Limited says, “Under regular circumstances, on a day like this, the market would have suffered deep cuts. But that is unlikely due to two causes. One, the battle, to date, has demonstrated India’s clear superiority in standard battle fare, and due to this fact, additional escalation of the battle will inflict enormous harm to Pakistan. Two, the market is inherently resilient supported by world and home macros.Weak greenback and probably weakening US and Chinese economies are good for the Indian market. The home macros assemble is additional rendered stronger by the excessive GDP progress anticipated this 12 months and the declining rate of interest surroundings. These are the the explanation why FIIs have been on a shopping for spree within the Indian market over the last sixteen buying and selling periods. Investors shouldn’t panic and exit from the market now. Remain invested, monitor the developments and await the mud to settle.”Indian equity markets closed lower on Thursday amid volatility caused by escalating India-Pakistan tensions. Market uncertainty is likely to continue as participants monitor ongoing developments between the two nations and upcoming US trade-related announcements. Market volatility on Thursday led to a Rs 5 lakh crore reduction in investors’ wealth. US stocks advanced on Thursday following positive developments in US-UK trade relations, whilst President Trump indicated forthcoming Chinese trade discussions could be more comprehensive than expected.Also Check | Operation Sindoor Live UpdatesAsian equities edged higher on Friday after Trump’s announcement of a UK trade agreement and hints at possible reduction in Chinese tariffs pending successful negotiations.Gold prices strengthened on Friday as investors acquired the metal after its previous session’s decline, whilst market participants awaited the weekend’s trade discussions between the United States and China.Foreign portfolio investors purchased shares worth Rs 2,008 crore net on Thursday, whilst domestic institutional investors sold Rs 596 crore net.The Indian rupee experienced its most significant one-day decline in over 30 months, dropping by 81 paise to close at 85.58 against the US dollar on Thursday. This substantial decrease was primarily attributed to the escalating geopolitical tensions between India and Pakistan.Anuj Choudhary, Research Analyst at Mirae Asset Sharekhan, said: “We count on the rupee to commerce with a destructive bias on the robust greenback and ongoing geopolitical tensions between India and Pakistan. Any additional escalation might additional pressurise the rupee. However, FII inflows might help the rupee at decrease ranges. Traders might take cues from weekly unemployment claims information from the US. USD-INR spot value is anticipated to commerce in a variety of 85.20 to 86.

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