Markets End Lower as Crude, Fed Rate Fears Hit Sentiment!

Indian Markets End August Lower as Crude, Fed Rate Fears Hit Sentiment Indian equities ended the final trading session of August on a weak note, with the Sensex falling around 300 points and the Nifty 50 closing below 24,100. Rising crude oil prices, renewed geopolitical tensions and growing expectations of tighter US monetary policy weighed on investor sentiment. The weakness came as global markets reacted to renewed tensions involving the US and Iran, pushing crude oil prices higher. Brent crude moved above the $90-per-barrel mark, raising concerns for oil-importing economies such as India. Higher crude prices are particularly important for India because they can increase the country's import bill and potentially put pressure on inflation, the rupee and corporate margins. At the same time, expectations surrounding US interest rates added another layer of uncertainty. Recent comments from US Federal Reserve Chair Kevin Warsh have increased expectations of a possible rate hike, with investors closely watching US Treasury yields and the dollar.