Indian equity markets tumble to an 11-month low, with Sensex shedding over 1,300 points and Nifty dropping close to 400 points in a sharp sell-off.

On Wednesday, Indian stock markets fell sharply, with the Sensex closing at 76,863.71 points, nearly an 11-month low. The broader Nifty 50 also fell to 23,866.85 points, marking its lowest close since April 2025. Analysts attributed the sharp decline to two main factors: fears of supply chain disruptions due to the ongoing Iran-Israel conflict and rising crude oil prices, which could increase India’s import bill and stoke inflation.

The precious metals market showed mixed trends, reflecting investor caution. Gold prices rose by ₹500 per 10 grams, reaching Rs1.61 lakh for 24-carat gold, according to the India Bullion and Jewellers Association (IBJA). In contrast, silver fell by Rs2,000 per kilogram, settling at Rs2.71 lakh.

Global crude oil prices, however, eased slightly. Brent crude fell by 0.25% to $88 per barrel, while US WTI crude slipped to $83 per barrel. Asian markets were mixed, with Tokyo’s Nikkei 225 gaining 1.4% to 55,025.37 and South Korea’s Kospi up 1.4% to 5,609.95. In contrast, Hong Kong’s Hang Seng dropped 0.2% to 25,898.76, while Shanghai Composite rose 0.3% to 4,133.43.

US markets were largely flat on March 10, with the Dow Jones closing down 34 points (0.07%) at 47,706. The Nasdaq Composite inched up 0.005% to 22,697, while the S&P 500 slipped 14 points (0.21%) to 6,781.

Foreign institutional investors (FIIs) continued to sell aggressively, offloading shares worth Rs4,672 crore on Tuesday. In March so far, FIIs have sold shares worth Rs.32,849 crore, while domestic institutional investors (DIIs) have made net purchases of Rs.48,134 crore. Despite this, the market had been bullish on Tuesday, March 10, with Sensex gaining 640 points to close at 78,205 and Nifty rising about 233 points to 24,262.

The decline on Wednesday underscores how global geopolitical tensions and commodity price fluctuations continue to heavily influence Indian markets, keeping investors cautious amid uncertainty.