Markets endured a brutal session on Wednesday as escalating hostilities under “Operation Epic Fury” involving the United States, Israel, and Iran triggered a broad risk-off selloff, driving the rupee to an unprecedented low and sending MCX gold surging past ₹1.63 lakh.
The Sensex crashed 1,122.66 points, or 1.40 per cent, to close at 79,116.19, while the Nifty 50 shed 385.20 points, or 1.55 per cent, to end at 24,480.50. The rupee breached the psychological ₹92 mark for the first time, touching an all-time low of ₹92.30 against the US dollar, having opened at 92.05. India VIX surged 22.6 per cent to 20.83 — its highest since May 2025 — as Brent crude pushed toward $85 per barrel on fears of disruption to the Strait of Hormuz.
Broader markets were hit harder. The Nifty Next 50 tumbled 2.70 per cent, the Nifty Midcap 100 fell 2.16 per cent, and the Nifty Smallcap 100 slipped 2.11 per cent. Nifty Bank dropped 1.81 per cent to 58,755.25. Of 4,433 stocks traded on the BSE, only 1,053 advanced against 3,245 declines, with 719 stocks hitting 52-week lows.
Ponmudi R, CEO of Enrich Money, captured the global context: “…South Korea’s KOSPI plunged nearly 12 per cent, triggering circuit breakers, while Thailand’s SET index declined over 8 per cent, highlighting the intensity of the global risk aversion.”
On the Nifty 50, only four stocks ended in the green. Bharti Airtel rose 1.88 per cent to ₹1,908.50, Coal India gained 1.85 per cent to ₹434.15, Infosys added 1.33 per cent to ₹1,306.10, and Tech Mahindra edged up 0.15 per cent to ₹1,347.40. Tata Steel was the top loser, plunging 7.08 per cent to ₹196.06, followed by TMPV, down 5.29 per cent to ₹351.00, SBI Life Insurance, down 4.98 per cent to ₹1,931.00, JSW Steel, down 4.67 per cent to ₹1,208.10, and Larsen & Toubro, down 4.54 per cent to ₹3,882.00. Nifty Metal was the worst sectoral performer, shedding over 4 per cent, while Nifty IT was the sole gainer, up a modest 0.11 per cent, buoyed by the rupee’s slide.
MCX gold surged 1.50 per cent to above ₹1.63 lakh, with Indian spot gold touching ₹1.70 lakh, while silver jumped 2.81 per cent. Aamir Makda, Commodity and Currency Analyst at Choice Broking, called it “…a classic flight-to-safety response.” Anindya Banerjee, Head of Currency and Commodity Research at Kotak Securities, flagged the Strait of Hormuz as the key variable: “…As long as crude oil prices remain elevated, the rupee could continue to face depreciation pressures.” He sees USDINR trading in a near-term range of 91–93 and expects the RBI to intervene to curb excessive volatility.
Sudeep Shah, Head of Technical and Derivatives Research at SBI Securities, warned that Nifty has broken decisively below the 24,570–24,600 support zone, with the RSI near 30 signalling bearish momentum. Immediate support sits at 24,300–24,350; a breakdown there risks a slide toward 24,100 and 23,800. Vinod Nair, Head of Research at Geojit Investments Limited, advised restraint: “…We advise investors to avoid panic sell-off and adopt a disciplined, long-term perspective…as current price levels may offer a strategic entry point for the medium to long term.” For Bank Nifty, the 58,200–58,100 zone is the support to watch Thursday, with 59,200–59,300 as immediate resistance.
Published on March 4, 2026
