Mumbai | June 17, 2025 — Indian stock markets slipped into negative territory on Tuesday amid heightened investor caution ahead of key global central bank policy decisions and rising geopolitical tensions in the Middle East.
The BSE Sensex declined by 212.85 points, ending the day at 81,583.30, while the NSE Nifty 50 dropped 0.37% to settle at 24,853.40.
Financial, FMCG Stocks Drag Markets Down
Key index constituents including Sun Pharma, Tata Motors, Bajaj Finance, Nestle, Reliance Industries, and HDFC Bank were among the top laggards on the Sensex. Broader market sentiment remained muted, with selling pressure in financials, auto, and FMCG counters.
Nifty Pharma, Metals Lead Sectoral Losses
Sector-wise, Nifty Pharma emerged as the biggest loser, declining by 1.89%. Metals, auto, and PSU bank indices also ended in the red, reflecting risk-off mood among investors.
Global Cues Keep Traders on Edge
Investor focus shifted to major global developments, particularly the U.S. Federal Reserve’s two-day policy meeting which began Tuesday. Market participants are closely watching for cues on potential rate changes, which could influence capital flows into emerging markets.
Meanwhile, the Bank of Japan (BoJ) concluded its policy meet, choosing to hold short-term interest rates steady at 0.4%–0.5%, marking the third consecutive meeting with no change. BoJ had last raised rates by 25 basis points in January 2025.
Following the announcement, Japan’s Nikkei 225 index climbed 0.59% to 38,536.74, indicating positive investor sentiment in the region.
Oil Prices Surge Amid Israel-Iran Conflict
Tensions in the Middle East also contributed to global market jitters. Oil prices continued their upward trajectory, driven by fears of supply disruptions due to the ongoing Israel-Iran conflict.
Brent Crude jumped nearly 8% following Israel's airstrike on Iran last Friday, trading at $73.99 per barrel at the time of reporting.