Indian Shares Hit 6-Month Low as Hormuz Tensions Drive Oil Prices Higher

Key Facts

1Indian equity markets dropped to nearly six-month lows driven by the diplomatic deadlock between the US and Iran.

2President Trump's rejection of Iran's Hormuz proposal has triggered a rise in global crude oil prices.

Indian equity markets dropped to nearly six-month lows driven by the diplomatic deadlock between the US and Iran. Reuters reported that President Donald Trump's rejection of an Iranian proposal regarding the Strait of Hormuz triggered a rise in global crude oil prices, impacting energy-importing economies.

The rejection by the US administration created a deadlock that raised fears of supply disruptions and higher energy costs. Despite the geopolitical pressure on equities, earlier data from September 23, 2026, showed resilience in India's economic activity, with the Manufacturing PMI reaching 55.7 and the Services PMI at 55.8.