Sensex Plummets 800 Points as U.S. Strikes on Iran Fuel Middle East Tensions
Indian stock markets took a sharp hit on June 23, 2025, with the BSE Sensex plunging over 800 points in early trade, driven by escalating tensions in the Middle East following U.S. airstrikes on three Iranian nuclear sites—Fordow, Natanz, and Isfahan. The NSE Nifty also dropped nearly 250 points, trading at 24,859 by 9:45 AM IST. The U.S. strikes, part of “Operation Midnight Hammer,” intensified the ongoing Israel-Iran conflict, sparking fears of a broader regional war and disrupting global markets.
The market downturn mirrored a global sell-off, with investors rattled by rising oil prices—Brent Crude surged 2.62% to $79.06 per barrel—amid concerns over Iran’s threat to close the Strait of Hormuz, a critical oil route. IT stocks like Infosys, HCL Tech, and TCS led the Sensex decline, while Bharat Electronics and Bharti Airtel bucked the trend as gainers. The rupee weakened 17 paise to 86.72 against the U.S. dollar, reflecting currency market strain.
Analysts, including Dr. VK Vijayakumar of Geojit Investments, suggest the market impact may be limited unless Iran retaliates against U.S. assets, potentially escalating the crisis. Global markets, including Japan’s Nikkei 225 and South Korea’s Kospi, also fell, with U.S. equity futures signaling further declines. Investors are bracing for volatility, with Nifty support levels now at 24,800, as the world awaits Iran’s response and its potential to disrupt energy supplies further.