Benchmark Nifty declined 1.6% on Thursday, marking its sharpest fall since July 8. Analysts say Indian equities are likely to remain weak in the near term amid renewed uncertainty over a potential resolution of the US-Iran conflict, elevated crude prices and rising global bond yields. Hopes of a near-term resolution remained subdued after US President Donald Trump indicated that a potential deal with Iran could come only after the November US midterm elections, while renewed Houthi activity in the Red Sea and tensions involving Saudi Arabia have heightened global supply risks and inflationary pressures.
