India’s share market indices, Sensex and Nifty50, ended the day’s trade in red on Wednesday, June 18, 2025. The Sensex (index with top 30 firms) tumbled 138.64 points to close at 81,444.66 on Wednesday. Meanwhile, Nifty50 (index with top 50 firms) was down 41.35 points to close at 24,812.05 points.
In the morning, the Sensex tumbled 269 points to open at 81,313.9. Meanwhile, Nifty50 was down 65.05 points to open at 24,797.15 points.
Indian share market remained under pressure on Wednesday as geopolitical tensions between Israel and Iran entered the sixth day, with the possibility of direct US involvement adding to investor worries.
Geopolitical tensions escalated further after U.S. President Donald Trump called for an “unconditional surrender” by the Iranian regime, something Iran has ruled out. Israel, which has reportedly achieved many of its military objectives quickly, is said to control the skies over Iran.
However, Iran’s missile arsenal continues to pose a threat, and the conflict is now being seen as a test of endurance. Despite the loss of key military and nuclear leaders, Iran’s nuclear facilities remain largely intact, and the country is expected to continue resisting.
What Else For Share Market?
Market expert Ajay Bagga told ANI that the key question now is whether the U.S. will step into the conflict. “The big question facing markets and friends and foes of both side alike is, “Will the US enter the war and bring its bunker buster armaments to bear on Iranian nuclear sites?” That escalation will impact markets, but if it happens, it will also lead to greater regional stability in the medium term,” he said.
Apart from the geopolitical risks, investors are also keeping an eye on the US Federal Reserve’s meeting on Wednesday. Weak consumer retail sales numbers for May have lowered expectations of a rate cut, although a more dovish tone from the Fed is still possible.
While Israel and Iran together contribute less than 1% to global GDP, the real concern for markets is the potential impact on oil supplies. This makes the conflict significant for financial markets in the short term.
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