MUMBAI, September 8: Indian equity markets opened lower on Tuesday as crude oil prices climbed toward $97 per barrel, increasing concerns over inflation, the rupee and India’s import bill amid escalating tensions in the Middle East.
Sensex, Nifty Open Lower
At 9:15 AM, the Nifty 50 fell 0.15% to 23,743.1, while the BSE Sensex declined 0.21% to 75,970.28.
Nine of the 16 major domestic sectors were trading lower as investors remained cautious about geopolitical risks and rising energy costs.
Brent Crude Climbs Above $97
Brent crude rose to around $97.49 a barrel, driven by fears that continued US-Iran tensions could disrupt energy supplies through the Persian Gulf and Strait of Hormuz.
Higher crude prices are particularly significant for India because the country imports roughly 85% of its crude oil requirements.
Rupee Faces Fresh Oil Pressure
The Indian rupee was expected to trade around ₹94.48–₹94.50 per US dollar, with rising crude prices and importer hedging limiting further appreciation.
The RBI has remained active in the foreign exchange market, with traders watching whether the central bank continues supporting the currency around current levels.
Inflation Concerns Rise
Persistently high oil prices could increase India’s fuel import costs and add pressure to inflation and the rupee.
Markets are therefore expected to remain sensitive to developments in the Middle East and movements in global crude prices in the near term.
source – Reuters
Supreme News Network
