FX.co ★ Sensex Closes Almost Muted

India's BSE Sensex ended Monday’s session virtually flat at 78,520, consolidating near six-week highs. Gains from strong quarterly bank earnings were offset by a rise in crude oil prices and renewed geopolitical tensions in the Middle East. A fresh escalation between the US and Iran over the weekend, including disruptions to shipping routes through the Strait of Hormuz, heightened uncertainty around future negotiations and the ceasefire path.

Against this backdrop, investors showed selective buying interest in sectors such as power, capital goods, and consumer durables. The ongoing Q4 earnings season remained in focus. State Bank of India (SBIN) climbed 2.5%, leading gains among banking stocks on expectations of improved earnings. ICICI Bank advanced 0.7% after beating fourth-quarter profit estimates, while HDFC Bank slipped 0.6% following a weaker-than-expected net interest margin.