India's share benchmarks slip as Mideast peace deal hopes ebb

Published May 26, 2026 Updated May 26, 2026 04:00pm

India’s equity benchmarks have fallen as fresh US strikes on Iran dampened hopes of an imminent peace deal to end the three-month-long Iran war that has upended the inflation and growth outlook for Asia’s third-largest economy, Reuters reports.

The Nifty 50 fell 0.49pc to 23,913.7 and the BSE Sensex lost 0.63pc to 76,009.7.

The indexes rose to two-week highs a day earlier after US President Donald Trump claimed that Washington and Tehran had “largely negotiated” a memorandum of understanding on a peace deal.

Today, 12 of the 16 major sectors fell, with heavyweight financials leading losses with a 0.7pc decline.

The broader small-caps and mid-caps rose 0.4pc and 0.5pc, respectively.