Citigroup lowers Nifty target to 27,000 amid war risks
India Today
The global brokerage has cut its Nifty target to 27,000 from the earlier estimate of 28,500. Even after the reduction, the new target still suggests a possible upside of about 17% from the Nifty's last closing level.
Citi Research has lowered its year-end target for India’s benchmark Nifty50 index, warning that the ongoing conflict in the Middle East could affect economic growth and corporate earnings in the country.
The global brokerage has cut its Nifty target to 27,000 from the earlier estimate of 28,500. Even after the reduction, the new target still suggests a possible upside of about 17% from the Nifty’s last closing level.
Citi has also lowered the valuation multiple used for the target. The brokerage reduced the Nifty target multiple to 19 times the one-year forward price-to-earnings ratio, compared with 20 times earlier.
The change reflects concerns that rising oil prices and supply disruptions linked to the war could create pressure on the Indian economy.
According to analysts at Citi Research, the effect on India’s growth and earnings will depend largely on how long the conflict and supply disruptions continue.
In a note released on Monday, analysts led by Surendra Goyal said the impact on corporate earnings would depend on how long supply chains remain affected.
Sensex has declined over 6,000 points or roughly 7.5% in a little over two weeks as global tensions and rising oil prices triggered selling in equities.
Speaking in Parliament, Union Petroleum and Natural Gas Minister Hardeep Singh Puri said India has adequate fuel stocks, and there is no cause for concern over availability.
Industry sources told India Today TV that airline operators are now paying additional insurance charges for every aircraft flying into the Middle East, significantly increasing the cost of operations on these routes.
Under law, a domestic household is generally allowed to keep two LPG cylinders of 14.2 kg each at a time. This usually includes one cylinder connected for use and another spare cylinder kept as backup.
Early signals from GIFT Nifty suggest that the benchmark indices could open lower when trading begins. GIFT Nifty futures were trading at 23,784.50 at around 7:58 am. This indicates that the Nifty 50 may open below Wednesday's closing level of 23,866.85.
When markets fall sharply, fear often takes over investing decisions. But did you know continuing SIPs during market crashes has historically rewarded disciplined investors?
The move comes as global energy markets remain on edge due to escalating tensions linked to the conflict involving Iran, which has raised fears of disruptions to crude oil shipments from the Middle East.
India consumes roughly 5.3 to 5.5 million barrels of crude oil every day. However, domestic production is only about 0.6 million barrels per day. This means the country depends on imports for nearly 85% of its oil needs.
At around 10:47 am, the BSE Sensex was down 750.68 points or 0.96% at 77,455.30, while the Nifty 50 slipped 208.25 points or 0.86% to 24,053.35.
Air India said the fuel surcharge is due to the sharp rise in aviation turbine fuel (ATF) prices since early March 2026, triggered by supply disruptions in the Gulf region.
Rahul Bhatia expressed gratitude to employees who worked tirelessly to restore operations during that challenging period, praising their resilience and dedication.
The Iran-US conflict has disrupted shipping through a key global oil export route, pushing oil prices higher. As a result, airline tickets on some routes have become much more expensive, and there are growing concerns that travel demand could weaken if the situation continues.