Indian shares to fall as widening Iran conflict sends oil higher

According to Business Recorder, Indian shares were set to open lower on Wednesday, tracking global markets, after oil prices climbed to nearly a six-week high. The move followed overnight strikes between the US and Iran, which deepened the Middle East conflict and revived worries about inflation.

Brent crude rose 2% to $96.6 a barrel, driving Asian markets lower and raising global bond yields on fears of a near-term US rate hike. Two analysts quoted in the report warned that prolonged strain on energy shipments could keep crude high, sustain inflation and reinforce tighter global policy, weighing on risk assets.

The Nifty and Sensex lost 0.5% and 0.4% respectively across the previous two sessions. GIFT Nifty futures, at 24,033.5 points, signalled a weaker opening for the Nifty 50, which closed at 24,055.8 on Tuesday. In stock news, Gland Pharma drew attention after the US drug regulator ended its inspection of the company's Visakhapatnam plants with zero observations.