Rising Middle East Tensions and Oil Spike Rattle Markets

9 Mar 2026 , 05:38 PM

Weekly Musings – Index Performance for the week ended 06 Mar, 2026

Last week saw markets trade with a negative bias, as escalating Middle East tensions and rising crude oil prices weighed on investor sentiment. Continued FII outflows of about INR 21,831.19 cr during the week further pressured the benchmarks. India VIX rose to 19.88, reflecting heightened market volatility and increased risk aversion among investors. Weakness across banking, IT, and midcap stocks dragged the broader market lower, keeping the overall market tone cautious.

BSE SENSEX 30 INDEX – Middle East Tensions and Global Weakness Drag Index

Weekly Performance: -2.91%

Date	Open	High	Low	Close
06 Mar, 2026	79659.0	79753.0	78812.2	78918.9
05 Mar, 2026	79530.5	80303.8	79201.7	80015.9
04 Mar, 2026	78528.8	79527.4	78443.2	79116.2
02 Mar, 2026	78543.7	80632.5	78543.7	80238.9
27 Feb, 2026	82220.5	82246.2	81159.1	81287.2

Source: BSE

The BSE SENSEX 30 index declined 2.91% during the week ended 06 March 2026, weighed down by heightened geopolitical tensions in the Middle East, rising crude oil prices, and cautious global sentiment. Persistent foreign institutional investor (FII) outflows and broad-based selling across key sectors pressured the index during the week. The index hit a high of 82,246.2 and a low of 78,443.2 during the week. It closed at 78,918.9 on 06 Mar, recording a weekly loss of 2,368.3 pts.

NIFTY 50 INDEX – Middle East Tensions Drag Markets Down

Weekly Performance: -2.89%

Date	Open	High	Low	Close
06 Mar, 2026	24656.4	24700.9	24415.8	24450.5
05 Mar, 2026	24616.0	24854.2	24529.4	24765.9
04 Mar, 2026	24388.8	24602.5	24305.4	24480.5
02 Mar, 2026	24659.2	24989.3	24603.5	24865.7
27 Feb, 2026	25459.8	25476.4	25141.3	25178.7

Source: NSE

The NIFTY 50 index slipped 2.89% during the week ended 06 March 2026, pressured by increasing Middle East tensions. Rising crude oil prices and continued foreign institutional investor (FII) selling further dampened market sentiment. The index hit a high of 25,476.4 and a low of 24,305.4 during the week. It closed at 24,450.5 on 06 Mar, recording a weekly loss of 728.2 pts.

NIFTY MIDCAP 100 INDEX – Geopolitics and Oil Spike Drag Midcaps Lower

Weekly Performance: -2.91%

Date	Open	High	Low	Close
06 Mar, 2026	57692.2	58104.5	57336.6	57393.3
05 Mar, 2026	57330.6	57946.4	57014.7	57792.6
04 Mar, 2026	57339.2	57399.0	56505.3	56925.2
02 Mar, 2026	57090.8	58814.3	57074.8	58180.5
27 Feb, 2026	59746.4	59774.9	59014.1	59115.6

Source: NSE

The NIFTY MIDCAP 100 index closed lower by 2.91% during the week ended 06 March 2026, due to broader market weakness and heightened geopolitical tensions in the Middle East. Rising crude oil prices and cautious investor sentiment further weighed on midcap stocks. The index hit a high of 59,774.9 and a low of 56,505.3 during the week. It closed at 57,393.3 on 06 Mar, recording a weekly loss of 1,722.2 pts.

NIFTY SMALLCAP 100 INDEX – Smallcaps Slip On Pervasive Pessimism

Weekly Performance: -2.54%

Date	Open	High	Low	Close
06 Mar, 2026	16524.3	16658.5	16481.7	16498.9
05 Mar, 2026	16397.1	16567.7	16311.5	16538.8
04 Mar, 2026	16412.3	16413.4	16156.4	16281.5
02 Mar, 2026	16289.6	16839.2	16284.7	16632.4
27 Feb, 2026	17109.8	17112.0	16904.5	16928.9

Source: NSE

The NIFTY SMALLCAP 100 index dropped 2.54% during the week ended 06 March 2026, dragged by sharp losses in technology and energy stocks, notably Kaynes Technology and Reliance Power. Broad-based selling across these sectors weighed on overall market sentiment. The index hit a high of 16,839.2 and a low of 16,156.4 during the week. It closed at 16,498.9 on 06 Mar, recording a weekly loss of 430.0 pts.

NIFTY BANK INDEX – Banks Witness A Sharp Correction

Weekly Performance: -4.54%

Date	Open	High	Low	Close
06 Mar, 2026	58629.6	58807.1	57696.4	57783.2
05 Mar, 2026	59008.2	59274.4	58506.4	59055.9
04 Mar, 2026	58447.1	59058.4	58393.6	58755.2
02 Mar, 2026	59204.3	60177.5	59148.0	59839.6
27 Feb, 2026	61057.4	61086.4	60438.9	60529.0

Source: NSE

The NIFTY BANK index fell sharply by 4.54% during the week ended 06 March 2026, as surging crude oil prices and renewed inflation concerns amid escalating Middle East tensions dampened market sentiment. Selling in heavyweight lenders, including ICICI Bank and HDFC Bank, was a material drag. The index hit a high of 61,086.4 and a low of 57,696.4 during the week. It closed at 57,783.2 on 06 Mar, recording a weekly loss of 2,745.8 pts.

NIFTY IT INDEX – Tech Stocks Continue To Slip

Weekly Performance: -1.52%

Date	Open	High	Low	Close
06 Mar, 2026	30074.6	30664.9	30062.8	30138.4
05 Mar, 2026	30554.8	30563.3	29823.2	30126.8
04 Mar, 2026	30092.2	30579.4	30092.2	30305.3
02 Mar, 2026	30020.2	30587.3	29889.5	30272.9
27 Feb, 2026	31145.8	31305.8	30546.0	30603.8

Source: NSE

The NIFTY IT index slipped 1.52% during the week ended 06 March 2026. While this was a relative outperformance versus the NIFTY 50, it extended one of the worst corrections for the IT sector. AI-led demand uncertainty continues to result in a valuation reset for IT services stocks. The index hit a high of 31,305.8 and a low of 29,823.2 during the week. It closed at 30,138.4 on 06 Mar, recording a weekly loss of 465.4 pts.

NIFTY OIL & GAS INDEX – Index Corrects Despite Select Beneficiaries

Weekly Performance: -3.89%

Date	Open	High	Low	Close
06 Mar, 2026	11863.0	11890.5	11763.2	11787.3
05 Mar, 2026	11672.2	11901.1	11668.2	11812.2
04 Mar, 2026	11828.6	11833.5	11597.3	11630.9
02 Mar, 2026	12085.4	12159.5	11888.0	12001.3
27 Feb, 2026	12262.1	12368.6	12215.5	12264.9

Source: NSE

The NIFTY OIL & GAS index declined 3.89% during the week ended 06 March 2026, due to heightened geopolitical tensions and volatility in crude oil prices that dampened investor sentiment across select energy stocks. While there were beneficiaries of the ongoing oil spike, the overwhelming number of losers weighed on the index. The index hit a high of 12,368.6 and a low of 11,597.3 during the week. It closed at 11,787.3 on 06 Mar, recording a weekly loss of 477.6 pts.

NIFTY FMCG INDEX – Rising Input Costs Weigh on Consumer Staples

Weekly Performance: -2.29%

Date	Open	High	Low	Close
06 Mar, 2026	49847.6	50173.6	49679.5	49970.6
05 Mar, 2026	49985.9	50186.4	49354.8	50000.8
04 Mar, 2026	50052.4	50315.8	49742.2	49797.5
02 Mar, 2026	49968.2	50879.5	49954.1	50751.6
27 Feb, 2026	51801.4	51987.6	51039.1	51142.2

Source: NSE

The NIFTY FMCG index slipped 2.29% during the week ended 06 March 2026, as rising commodity prices and concerns over slowing demand dampened sentiment across consumer staples. Selling in key stocks, including Hindustan Unilever and Godrej Consumer Products, also weighed on the sector during the week. The index hit a high of 51,987.6 and a low of 49,354.8 during the week. It closed at 49,970.6 on 06 Mar, recording a weekly loss of 1,171.6 pts.