GIFT Nifty Drops 1% as Brent Crude Nears $97

GIFT Nifty dropped 1% to 24,470 in early trade, signaling a negative open for the Nifty 50 as renewed US-Iran tensions pushed Brent crude sharply higher toward $97 a barrel. The move reflects a classic risk-off transmission: geopolitical escalation in a major oil-producing region feeds directly into energy price spikes, which in turn compress equity sentiment across import-dependent economies like India. India sources a significant share of its crude from the Middle East, making it acutely sensitive to supply-disruption pricing. A sustained Brent crude level near $97 would widen India's current account deficit, pressure the rupee, and lift inflation expectations, all of which tighten the policy environment for the Reserve Bank of India. Traders will be watching whether the tension escalates further or stabilizes, as the directional move in Nifty 50 at open will depend heavily on where crude settles through the Asian session.