Sensex, Nifty Fall as West Asia Tensions and FPI Selling Weigh on Markets

Markets Open in the Red

Indian equity benchmarks started the week on a weak note as investor sentiment remained subdued due to escalating West Asia tensions and relentless selling by foreign portfolio investors. The Sensex dropped 148 points (0.20%) to open at 74,415, while the Nifty 50 slipped 35 points (0.15%) to 23,116 in early trade on Monday.

FPI Exodus Deepens

Foreign Portfolio Investors have been aggressive sellers throughout March, offloading a staggering ₹54,455 crore in net selling across all trading sessions through March 13 — averaging over ₹4,000 crore per session. Analysts note that FPIs are not just selling their equity holdings; they are also deeply net short on Nifty index futures, signalling expectations of further market decline.

Market expert Ajay Bagga noted that while India is navigating a complex diplomatic environment — including securing safe passage for Indian tankers through the Strait of Hormuz — global macroeconomic pressures continue to dominate over domestic factors.

Nifty Posts Worst Week in Four Years

SEBI-registered analyst Sunil Gurjar highlighted that the Nifty 50 had its worst weekly performance in four years in the previous week, breaching multiple key support levels. The sustained selling pressure has pushed the index into what technicians describe as increasing bearish momentum, with the next major support zone now in focus.

Global Cues: Oil Up, Mixed Asian Markets

Global commodity markets reflect the tension. Brent crude rose to approximately $104 per barrel, driven by supply fears from the Strait of Hormuz, through which a significant share of the world's oil passes. Gold held elevated at ₹1,58,400 per 10 grams, while silver fell sharply by 3.24 per cent to ₹2,59,279 per kilogram.

Asian markets showed mixed signals: Hong Kong's Hang Seng rose 0.5 per cent to 25,589, while Japan's Nikkei 225 declined 1.05 per cent to 53,252, adding to the cautious global mood feeding through to Indian markets.