Indian Stock Markets at Risk Amid Middle Eastern Tensions and Oil Price Volatility

MUMBAI: The Indian stock market is currently at a very "fragile" point amid political tensions and war. According to Kotak Securities experts, rising conflict in the Middle East has increased the risk of a spike in crude oil prices and supply chain disruptions. Sumit Pokharna, VP (Fundamental Research), Kotak Securities, warns that this situation could persist for the next few weeks. Impact on imports and GDP is a concern for Indian markets. India imports more than 80 per cent of its crude oil needs from abroad. Pokharna said, "This high dependence makes India more vulnerable than other countries. If there is any disruption in oil supply, it will have a direct impact on India's GDP growth." The market is always afraid of uncertainty, and right now there is a big improvement in oil prices, increased freight costs and insurance premiums.