Market Midday Report, July 21, 2026: Sensex, Nifty Slip at Midday as Houthi Naval Blockade Threat on Saudi Arabia Rattles Oil Markets

Mumbai, July 21: Domestic equity benchmarks traded lower at midday on Tuesday, extending their morning retreat, as an escalation in the Iran war unsettled sentiment.  

The BSE Sensex was down 233.28 points, or 0.30 per cent, at 77,475.24, while the NSE Nifty50 declined 67.95 points, or 0.28 per cent, to 24,170.55 at 12.24 pm. Losses deepened after Yemen’s Iran-aligned Houthis announced a naval blockade on Saudi Arabia on Monday, opening a fresh front in the war and stoking fears over global energy supplies. 

Gainers & Losers 

Among Nifty50 gainers, Shriram Finance climbed 2.82 per cent to an LTP of Rs 1,064.60 from a previous close of Rs 1,035.40. InterGlobe Aviation rose 1.28 per cent to Rs 5,296 against Rs 5,229, Kotak Mahindra Bank added 1.1 per cent to Rs 386.25 from Rs 382.05, Bajaj Finserv gained 0.98 per cent to Rs 1,879.80 versus Rs 1,861.50, and HCL Technologies advanced 0.9 per cent to Rs 1,232.30 from Rs 1,221.30.  

On the losing side, HDFC Bank fell 1.52 per cent to Rs 765.75 from Rs 777.60, Max Healthcare slipped 1.23 per cent to Rs 1,088.80 against Rs 1,102.40, and Dr Reddy’s Laboratories dropped 1.19 per cent to Rs 1,208.60 from Rs 1,223.10. State Bank of India shed 1.08 per cent to Rs 1,048.60 versus Rs 1,060, while TCS declined 1.02 per cent to Rs 2,228.10 from Rs 2,251.10. 

Broader Markets & Sectoral Indices 

In the broader market, the Nifty Smallcap 100 bucked the trend, rising 0.33 per cent, followed by the Nifty Midcap 50, up 0.25 per cent, and the Nifty Midcap Select, up 0.21 per cent. Among laggards, the Nifty 50 fell 0.26 per cent, the Nifty 100 slipped 0.23 per cent and the Nifty 200 eased 0.14 per cent. Sectorally, the Nifty Chemicals index led with a 1.24 per cent rise, followed by Nifty Cement, up 1.17 per cent, and Nifty Realty, up 0.44 per cent. Nifty PSU Bank was the top sectoral loser, down 0.67 per cent, followed by Nifty IT, down 0.57 per cent, and Nifty FMCG, down 0.41 per cent. 

Iran War 

The Iran war entered a tense new phase after the Houthis said they would impose a naval blockade on Saudi Arabia, drawing a warning of forceful response from the Saudi-led coalition. The escalation followed one of the deadliest stretches for US troops, with the Pentagon confirming two soldiers killed in Friday’s Iranian strike on a Jordan base and a fourth serviceman killed in northern Iraq. Iran’s foreign ministry flagged a possible 10-day ceasefire even as US Central Command struck Iran again on Monday. Iran’s Revolutionary Guards said tankers had exploded near the Strait of Hormuz and claimed strikes on US assets in Jordan, Kuwait and Syria. 

Asian Markets on Tuesday 

Asian markets rallied broadly on Tuesday, led by Japan’s Nikkei 225, which surged 3.26 per cent to 66,232.19. The Shanghai Composite added 1.28 per cent, the Jakarta Composite rose 0.91 per cent and the Hang Seng inched up 0.09 per cent. Malaysia’s FBM KLCI and Vietnam’s HNX 30 bucked the trend, down 0.93 per cent and 4.28 per cent, respectively. 

Wall Street 

Wall Street closed lower overnight, with the Dow Jones shedding 307.16 points, or 0.59 per cent, to 51,839.26 as investors weighed the blockade threat and elevated crude. The S&P 500 slipped 0.19 per cent to 7,443.28 and the Nasdaq eased 0.05 per cent to 25,508.07. Mexico’s S&P/BMV IPC and Canada’s S&P/TSX Composite also fell over 0.7 per cent each. 

Oil Prices 

Crude prices eased on Tuesday as markets balanced renewed US-Iran mediation reports against fresh strikes and the blockade threat. Brent crude futures slipped 35 cents, or 0.4 per cent, to $88.87 a barrel, while US WTI crude for September delivery held steady at $82.47, both below the multi-week highs of the previous session. Analysts said the blockade threat raised the risk of disruption to another major oil exporter even as hopes of a breakthrough capped further upside. A preliminary Reuters poll showed US crude and gasoline stocks likely fell last week, while distillates rose. 

Morning Session 

Indian indices had opened marginally lower on Tuesday and traded cautiously through the first hour, tracking a soft Gift Nifty amid the Iran war escalation. The Sensex slipped as much as 85.83 points, or 0.11 per cent, to 77,622.69, while the Nifty50 eased 8.45 points, or 0.03 per cent, to 24,230.05 by 9.45 am. The subdued start came a day after the Nifty fell below the 24,250 mark on Monday on heavy selling in private banks, even as energy, metal and pharma shares gained. Investors continued digesting June-quarter earnings even as elevated crude and Middle East tensions kept risk appetite in check. 

Sources

• NSE
• BSE
• https://www.reuters.com/world/middle-east/us-launches-iran-strikes-ninth-day-another-american-confirmed-killed-2026-07-20/
• https://www.reuters.com/markets/stocks/asia-pacific/
• https://www.reuters.com/business/energy/oil-prices-dip-mediation-efforts-offset-us-iran-strikes-2026-07-21/