The barometer index, the S&P BSE Sensex tanked 1,836.57 points or 2.46% to 72,696.39. The Nifty 50 index plunged 601.85 points or 2.60% to 22,512.65.

The broader market underperformed the frontline indices. The BSE 150 MidCap Index dropped 3.81% and the BSE 250 SmallCap Index slipped 3.86%. The market breadth was weak.

The NSE's India VIX, a gauge of the market's expectation of volatility over the near term, surged 17.17% to 26.73.

Among the sectoral indices, the IT index (down 0.18%), the Nifty Healthcare index (down 2.11%) and the Nifty Pharma index (down 2.16%) outperformed the Nifty 50 index.

Meanwhile, the Nifty Consumer Durables index (down 5.17%), the Nifty Metal index (down 4.81%) and the Nifty Realty index (down 4.74%) underperformed the Nifty 50 index.

US-Iran Warfare

The ongoing conflict in the Middle East continues to intensify, keeping global investors cautious as the war enters its fourth week, raising concerns about energy security and global economic stability.

An attack on Iran's southern coast and islands will lead to Gulf routes being cut with the laying of sea mines, the country's Defence Council said on Monday according to media reports.

According to the chief of the International Energy Agency (IEA), nearly 40 energy assets ‘severely damaged' in conflict; warns of ‘worst’ crisis.

Meanwhile, Donald Trump warned the US will “obliterate” Iran’s power plants if it doesn’t fully open the Strait of Hormuz within 48 hours, In response, Iran stated that any such military action would be met with retaliatory strikes targeting U.S. and Israeli energy and infrastructure facilities in the region.

Numbers to Track:

The yield on India's 10-year benchmark federal paper rose 1.97% to 6.870 compared with the previous session close of 6.737.

In the foreign exchange market, the rupee edged lower against the dollar. The partially convertible rupee was hovering at 94.1000 compared with its close of 93.5350 during the previous trading session, pressured by rising geopolitical tensions in the Middle East and concerns over energy supply disruptions.

MCX Gold futures for the 2 April 2026 settlement tumbled 6.74% to Rs 134,751.

The US Dollar Index (DXY), which tracks the greenback's value against a basket of currencies, was up 0.45% to 100.10.

The United States 10-year bond yield rose 0.66% to 4.439.

In the commodities market, Brent crude for May 2026 settlement jumped $1.31 or 1.17% to $113.50 a barrel.

Global Markets:

The US Dow Jones index futures are currently down by 331 points, signaling a negative opening for US stocks today.

European shares declined while Asian markets ended lower on Monday, as investors fled risk assets amid escalating conflict in the Middle East that has entered its fourth week.

President Donald Trump said on Saturday that he would “obliterate” Iran’s power plants if Tehran failed to fully reopen the Strait of Hormuz—a vital artery for global energy flows—within 48 hours.

Iran pushed back, threatening to target energy infrastructure and desalination facilities in the Gulf if the U.S. carries out its ultimatum.

Singapore’s core inflation jumped to 1.4% in February 2026 from a year earlier, official data showed on Monday.

Overnight in the U.S., the Dow Jones Industrial Average declined 0.96% to close at 45,577.47 and the S&P 500 fell 1.51% to end at 6,506.48, while the Nasdaq Composite futures pulled back by 2% to end at 21,647.611.

The three major indices ended last week lower, with the S&P 500 declining by more than 1.5% and falling below its 200-day moving average for the first time since May. The Dow, which saw its first four-week losing streak since 2023, and the Nasdaq each fell around 2% for the week.