The Nifty 50 fell as much as 1.22% to 23,080.70 in early trade on Monday, June 8, 2026, as escalating tensions in West Asia and surging crude oil prices triggered broad-based selling across Indian equities.
Quick Facts
- Nifty 50 dropped 1.22% in early trade to 23,080.70 on June 8, 2026
- Iran launched missiles toward Israel on June 7 following Israeli military action in Beirut
- Brent crude surged 3.5% to $96.50 per barrel amid supply concerns
- IT and financial stocks led losses with declines of 1.5% and 1.3% respectively
Investor sentiment deteriorated after Iran reportedly launched missiles toward Israel following Israeli military strikes in Beirut, raising fears of a broader regional conflict. The escalation prompted traders to reassess the possibility of supply disruptions through the Strait of Hormuz, a critical route for global energy shipments.
The spike in crude prices is particularly concerning for India, one of the world’s largest oil importers. Higher energy costs can fuel inflation, widen the current account deficit, and put additional pressure on corporate earnings. Brent crude futures surged 3.5% to $96.50 per barrel as geopolitical risks intensified.
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Nifty 50 opens lower amid US-Israel-Iran tensions, trading near 23,200
Global Selloff Mirrors Domestic Weakness
Weakness in the Nifty 50 mirrored a sharp decline across international equities. The MSCI Asia ex-Japan index tumbled 2.7%, while South Korea’s Kospi plunged 4.8% and Japan’s Nikkei fell 3.8%. Technology stocks led the global selloff after recent gains linked to artificial intelligence enthusiasm began to unwind.
Among Nifty 50 constituents, Wipro, TCS, Hindalco Industries, Tata Steel, JSW Steel, Bajaj Finance, and Shriram Finance were among the major losers in early trade. Financial services and information technology sectors emerged as the biggest drags on the index, falling 1.3% and 1.5% respectively.
Fed Rate Expectations Weigh on Sentiment
Market sentiment was further dented after stronger-than-expected US employment data increased expectations that the US Federal Reserve may keep interest rates elevated for longer. According to CME FedWatch data, the probability of a US rate hike by the end of 2026 rose to 72.3% from 45.2% a week earlier.
Higher US interest rates typically reduce the attractiveness of emerging markets by encouraging capital flows toward developed economies offering higher yields. India VIX, the market’s fear gauge, jumped nearly 15% to around 18, indicating rising nervousness among traders.
Sources
- Outlook Business — Nifty 50 opening level, crude oil surge, sector performance, and global market declines
- Al Jazeera — Iran missile launch toward Israel on June 7, 2026
- BBC News — Israeli military retaliatory strikes on Iran
- Fox News — Iran ballistic missile launches and ceasefire tensions
