The equity markets faced significant downward pressure in early afternoon trading, as geopolitical tensions escalated among the U.S., Israel, and Iran. Investors are expressing concerns regarding potential energy supply shocks, leading to heightened crude oil prices and renewed inflationary pressures. This uncertainty has cast a shadow over the global economic outlook, contributing to a decline in key equity benchmarks. As of 11:30 AM IST, the Nifty index traded below the 24,650 threshold, reflecting a drop of 154 points, or 0.63%, settling at 24,610.25. The S&P BSE Sensex also showed substantial losses, declining by 562.18 points, or 0.70%, to a value of 79,453.72.

The performance of the broader market was mixed, with the BSE 150 MidCap Index dipping slightly by 0.10%, while the BSE 250 SmallCap Index managed to gain 0.02%. Despite the overall negative sentiment, the market breadth reflected some resilience, with 1,907 shares advancing against 1,900 shares declining, and 232 shares remaining unchanged. Notably, the Nifty Realty index suffered a decline of 1.74% to 744.60, reversing gains made in previous trading sessions. Major real estate stocks such as Godrej Properties, Lodha Developers, and DLF all reported significant losses, with drops ranging from 1.35% to 3.72%.

In the realm of initial public offerings, the IPO of Sedemac Mechatronics attracted bids for 34,81,899 shares against an offer of 56,32,899 shares, indicating a subscription rate of 0.62 times as of the latest update. The IPO, which opened for bidding on March 4, 2026, is set to close on March 6, 2026, with a price band established between Rs 1,287 and Rs 1,357 per share. As investors navigate these turbulent times, the performance of the IPO market and individual stocks will be closely monitored for indications of market sentiment and investor confidence.

Global markets have also shown signs of strain as Asian indices reflected mixed results, influenced by overnight losses in Wall Street amid rising energy prices due to ongoing geopolitical conflicts. Oil prices have surged past the $80 per barrel mark, raising additional concerns regarding inflation and economic growth. This backdrop reinforces the cautious stance adopted by investors in the equity markets, particularly those with exposure to the real estate sector, which has experienced a notable downturn in light of the current economic environment.