Overview
Generally, when there is a war or war like situation is plotted in a Country, the uncertainty comes to play in every Stock Exchange. Investors are not much more confident about the respective countries economy. War is always a red flag for the countries economy as well as growth. So, they drag their money from the respective Stock Exchange as a result most of the Stock Exchange crashes. Investment always happy to put their money in stable and growth economy.
Due to continuous seventh day Iran-Israel scuffle war, the global stock markets is in tension, whereas the stocks in Israel as well as its major index continue to trade higher.
But in the present Scenario despite of scuffle war between Israel and Iran, Israel’s Tel Aviv Stock exchange closes in +111.00 points that is in +1.83% today. The major Index of the Stock Exchange is up 4.26% in intraday on Thursday at 6339. In the last five days, Tel Aviv stock exchange has given around 6% positive return even in one month also it has given positive return. Despite dozens of ballistic missile attacks at the building site, traders seem fearless and optimistic. Index is now 52-week high. Initially, indices like TA-125 and TA-35 experienced brief declines due to investor panic and geopolitical uncertainty.
According to Al Jazeera and other local media although significant damage was inflicted on the different parts of Tal Aviv Stock Exchange building, after Iran launched 25 missiles in a fresh attack on Israel on Thursday. The missiles were striking several locations including Tel Aviv and Be’er Sheva.
The ongoing Iran–Israel conflict has had a mixed but largely resilient impact on the Tel Aviv Stock Exchange (TASE). However despite of the geopolitical strain, Israel’s Stock market showed resilience and investors continuing to buy into local equities amid the Uncertainty due to the factors such as limited escalation being priced in, strong fundamentals, central bank preparedness, and upward momentum in certain sectors have helped maintain the stability of the exchange.
Crude Oil News
During war oil prices are in focus because Iran is a major producer of oil. It sits on the narrow Strait of Hormuz, through which much of the world’s crude passes. The fear of conflict between Israel and Iran could disrupt the global flow of crude.
Benchmark indices Sensex and Nifty ended lower for the third straight session on Thursday, along with with weak trends in global markets such as Dow Jones, FTSE,CAC-40, DAX etc., as geopolitical uncertainties due to the ongoing Iran-Israel conflict weakened investors.
Extension of Losses in Sensex, Nifty
Due to global uncertainties for wars and rising global crude prices, the US Fed decide to keep interest rates unchanged although the inflation in US is under control.
In a largely volatile trade, the 30-share BSE Sensex declined 82.79 points, or 0.10%, and settle at 81,361.87. During the day, it hit a high of 81,583.94 and a low of 81,191.04. Similarly, 50-share NSE declined 18.80 points, or 0.08% and settle at 24,793.25 . During the day, it hit a high of 24863.10 and a low of 24.733.40 point. Nifty Midcap 100 declined 1.63% and closes at 57,160.