Middle East War Impact On Stock Market India: The Middle East war between the US, Israel and Iran has impacted the Indian stock market severely. The war has not entered its fifth week, with no signs of easing. Since the start of the Middle East war on February 28, 2026, Indian stock market investors have lost a massive Rd 51 lakh crore.
According to BSE data, the benchmark Sensex index has crashed over 11 per cent so far. Sensex has tanked 9,339.64 points or 11.48 per cent in the period.
Middle East War Impact On Stock Market India
The market capitalisation of all the BSE-listed companieshttps://www.bseindia.com/ fell by Rs 51,09,498.82 crore to Rs 4,12,41,172.45 crore in March 2026.
From its all-time high of 86,159.02, the Sensex index is down 14,211.47 points or 16.49 per cent.
Middle East War Impact On Stock Market India: Expert Speaks
Vinod Nair, Head of Research, Geojit Investments, said that amid unresolved global tensions, rising oil prices, and continued FII outflows, the market ended the final trading session (March 30, 2026) of the current financial year on a cautious note.
“While valuations now appear more favourable after the recent correction, the trajectory of earnings revisions remains the key determinant of market direction. Continued volatility in oil prices and rupee weakness may exert pressure on input costs, increasing the risk of near-term earnings downgrades,” the expert said.
Middle East War Impact On Stock Market: FII Selling
The Middle East War impact on the stock market has also triggered a sharp selling by foreign institutional investors (FIIs). FIIs, who turned buyers in February, are now the net sellers.
Foreign investors have sold shares in India worth more than Rs 1 lakh crore in March. This marks the worst monthly selling by FIIs in India in nearly two years.
Meanwhile, Sensex and Nifty 50 closed the fiscal year 2026 (FY2026) on a weaker note. The Sensex lost more than 5 per cent and the Nifty 50 dropped over 3.5 per cent in the financial year.
