Stay calm, India's economic fundamentals are still strong: SEBI chairman
SEBI Chairman Tuhin Kanta Pandey is telling investors to stay calm as the stock market takes a hit from rising Middle East tensions.
Speaking at the Nifty 50's 30th anniversary, he reassured everyone that India's economic basics are still solid.
Nifty, Sensex drop 2% on crude oil price surge
On Monday, Nifty 50 and Sensex dropped 2%, wiping out ₹8.47 trillion in value, as crude oil prices surged past $100 a barrel.
That's making things tough for banks, airlines, and companies exposed to higher fuel costs who could face higher costs.
India imports most of its oil
India imports most of its oil—about half of its combined crude oil and LNG imports transit the Strait of Hormuz, which has seen tensions escalate after recent U.S.-Israel strikes on Iran, prompting Iranian threats involving the Strait.
Some analysts say India could be among Asia's most affected countries right now.
Still, history shows markets usually bounce back strongly after similar global shocks—Nifty's two-year rebounds after past wars have ranged from around 28% to over 100%.