GIFT Nifty Opens Tepidly; Kospi Down 2%, Brent Rises Amid US-Iran Tension

Global Tensions and Rising Oil Prices Weigh on Indian Markets

As global markets react to rising energy costs and geopolitical tensions, Indian indices open with a negative bias.

Market Overview: Sensex and Nifty50 Decline

On September 28, 2026, the Indian stock market opened sharply lower, with the benchmark Sensex falling by 546 points, or 0.74%, to trade at 73,349. The Nifty50 index also saw a decline, slipping 75.60 points, or 0.33%, to settle at 24,064.90 during the pre-open session. This negative sentiment is largely attributed to rising oil prices, which have raised concerns about inflation and potential rate hikes by the US Federal Reserve.

Global Market Influences: Energy Prices and Geopolitical Tensions

The rise in Brent crude prices, which increased over 1% to $106 per barrel, is a significant factor influencing market sentiment. This surge follows Iran’s commitment to reopen the Strait of Hormuz, a critical shipping lane, without a clear response from the US. The geopolitical tensions surrounding this situation have heightened fears of supply disruptions, further impacting energy prices globally.

Asian markets mirrored this sentiment, with South Korea’s Kospi and China’s CSI 300 indices falling by 2.07% and 1.24%, respectively. The overall decline in Asian markets reflects a broader concern about inflationary pressures and the potential for increased interest rates, particularly in the US, which could dampen economic growth.

Sector Performance: Banks and Autos Under Pressure

In the Indian market, sectors such as banking and automobiles are particularly underperforming. Analysts have noted that the technical setup for the Nifty50 remains weak, with support levels being tested around 23,000. This weakness is compounded by rising costs and the potential for tighter monetary policy, which could affect consumer spending and business investment.

The rupee also opened weaker against the US dollar, trading at 95.86, down 4 paise from the previous close. This depreciation adds another layer of complexity for investors, as it could lead to increased import costs and further inflationary pressures.

IPO Activity Amidst Market Volatility

Despite the market’s challenges, several initial public offerings (IPOs) are set to open for subscription, including SRIT India and Shah Investor’s Home. The SME segment will also see activity with Acme Universal Safezone 9 and others. The ongoing subscription for IPOs like Snapdeal and Orient Cables indicates that investor interest remains, albeit cautiously, in the face of broader market pressures.

Key Highlights

• Sensex opens down 546 points, trading at 73,349.
• Nifty50 slips to 24,064.90, testing support around 23,000.
• Brent crude rises over 1% amid geopolitical tensions.
• Rupee opens weaker at 95.86 against the US dollar.
• Several IPOs open for subscription despite market volatility.

Investor Note: Investors should remain cautious as rising energy prices and geopolitical tensions could lead to increased volatility in the markets. Monitoring inflation trends and central bank responses will be crucial for making informed investment decisions.