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Investors reassessing the potential economic fallout from the war in ​Iran are selling assets across the globe, from government bonds to stocks and gold, reigniting fears that markets may become vulnerable to a bigger dislocation.
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Indian markets tumbled sharply as rising crude oil prices and the Fed’s cautious rate outlook dented sentiment. Nifty and Sensex saw steep declines, volatility spiked, and technical indicators signaled further downside risk with bearish momentum dominating near-term market direction.
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Wall Street’s ​main ​indexes opened lower on ​Thursday as crude prices soared on intensifying Middle East ‌hostilities, reviving ⁠inflation ⁠worries that have ​prompted the Federal Reserve to take ​a more cautious stance on interest rate ​cuts.
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Rupee is likely to open sharply weaker after the Gudi Padva holiday, pressured by surging crude oil prices and a stronger dollar. Experts see bearish cues, though possible RBI intervention may limit losses amid heavy FII outflows.
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