Sensex, Nifty gave up early gains, turned red; Sensex down 650 pts from day's high, Nifty near 24,500 after Trump's Iran, Strait of Hormuz remarks
Hariselvan RadhakrishnanDonald TrumpAxis SecuritiesHST Wealth

Sensex, Nifty gave up early gains, turned red; Sensex down 650 pts from day's high, Nifty near 24,500 after Trump's Iran, Strait of Hormuz remarks

The Sensex and Nifty indices reversed early gains, with the Sensex down 650 points from its day's high, following President Trump's warning of a 'very strong strike' against Iran if the Strait of Hormuz remains blocked, raising fresh geopolitical concerns.

Moneycontrol.com5 August 2026 · 10:19 UTC
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The BSE Sensex initially surged by 626.43 points to 79,055.38 but settled at 78,581.00, while the NSE Nifty peaked at 24,677.60 before closing at 24,624.65. Profit booking followed the early rally as investors reacted to Trump's remarks on Iran.1234789

Trump stated that the Strait of Hormuz would reopen "very soon" and warned of a "very strong strike" if it remained blocked. He added, "We'll know in 48 hours" regarding the situation with Iran.56

Analysts noted that the Nifty's resistance levels are at 24,700 and 24,772, with immediate support at 24,500. Hariselvan Radhakrishnan, CEO of HST Wealth, remarked, "Although global uncertainties have not completely receded, investors appear increasingly willing to look beyond near-term geopolitical risks and refocus on corporate earnings, liquidity conditions and domestic growth prospects."10

The market's decline reflects a broader concern over geopolitical tensions impacting investor sentiment, as profit booking emerged after the initial buying momentum.

Key Insight
“Axis Securities sees 24,700/24,772 as key resistance zones and 24,500 as immediate support, with a move above opening the way toward 24,900. HST Wealth's Hariselvan Radhakrishnan said investors are refocusing on corporate earnings, liquidity and domestic growth despite global uncertainties.”
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“Sensex, Nifty erased their early gains after Trump warned of a 'very strong strike' if the Strait of Hormuz is not reopened soon.”
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