Indian equities bore the brunt of the fallout of Trump’s speech, with the BSE Sensex plunging over 1,400 points and the Nifty 50 sliding 400 points at the open.
BY PC Bureau
April 2. 2026: Indian equity markets opened sharply lower on Thursday after Donald Trump signalled continued US military strikes on Iran, including potential attacks on energy infrastructure, over the coming weeks.
At the opening bell, the BSE Sensex tumbled more than 1,400 points, while the Nifty 50 dropped around 400 points, reversing gains from the previous session when both indices had ended on a positive note.
The sell-off followed a sharp spike in global oil prices, triggered by fears of prolonged conflict in the Middle East and possible disruptions in the Strait of Hormuz—a critical route for global crude shipments.
🇺🇸🇮🇷⚡️ — S&P 500 futures wiped out roughly $550 billion in market cap within about 25 minutes as President Trump delivered his address on the Iran war. pic.twitter.com/7cKUsFsknI
— War Flash (@WarFlash_2630) April 2, 2026
Oil Surge, Metals Mixed
Brent crude futures surged nearly 5% to cross the $106-per-barrel mark, while US West Texas Intermediate crude also saw strong gains. In contrast, silver prices declined in international markets following Trump’s address, reflecting broader volatility across commodities.
READ: Trump Claims Decisive Blow to Iran, Signals War Endgame
Currency Movement
The Indian rupee showed early signs of recovery after hitting record lows, rebounding to 93.65 against the US dollar amid suspected intervention by the Reserve Bank of India.
Weak Global Cues Signal Gap-Down Start
Earlier indicators had already pointed to a weak opening. GIFT Nifty traded over 300 points lower ahead of market hours, signalling a gap-down start for Dalal Street as investors reacted to geopolitical uncertainty.
Investor Outlook
Market analysts remain cautious, noting that crude oil levels will be a key trigger. A sustained rise above $105 per barrel could weigh on inflation and corporate margins, while any easing in tensions may support a recovery in equities.
For now, the sharp market reaction underscores investor anxiety over escalating geopolitical risks and their ripple effects on global trade, energy prices, and domestic growth.
