Indian equities ranking geopolitics as the single-largest risk higher than tariff war.
Israel’s targeted strikes on Iran’s nuclear sites on June 13, under ‘Operation Rising Lion’, have raised serious global concerns. Indian investors and market experts, in the Moneycontrol Market Poll, pointed to this as the biggest source of uncertainty affecting the markets right now.
More than 41% of the respondents said geopolitics is the biggest risk for Indian stocks right now. They see it as a bigger threat than trade wars, slowing company earnings, or high stock prices.
The Sensex and Nifty dropped over 1% each in early trade on June 13, as rising crude oil prices and tensions in the Middle East made investors more cautious. By 9:45 AM, the Sensex had fallen 910 points to 80,785. Among the worst hit were PSU Bank, Smallcap 100, and Nifty Auto, which fell 1.60%, 1.53%, and 1.49%, respectively.
India VIX jumped 10.77% to 15.53, showing a sharp rise in market volatility. At the same time, crude oil prices shot up by as much as 10% and are now up about 14% for the week — their biggest weekly gain since 2022.
