Global Markets Jitter as Energy Concerns Escalate Amid Saudi Pipeline Closure

Indian stock exchanges will be closed on Monday due to Ganesh Chaturthi, resuming trading on Tuesday. Asian markets are mostly down amid West Asian tensions affecting energy supplies. Saudi Arabia's pipeline closure raises concerns, causing oil prices to spike and impacting global financial markets.

Indian equity markets will observe a break on Monday for Ganesh Chaturthi, halting all trading and settlement activities on the Bombay Stock Exchange (BSE) and National Stock Exchange (NSE). Normal trading sessions will recommence on Tuesday, September 15, 2026.

Asian markets experienced a downturn on Monday, reflecting anxiety over increasing West Asian tensions and their potential fallout on global energy supply chains. Among others, Japan's Nikkei 225 saw a 0.59% decrease, the Topix fell by 0.15%, South Korea's Kospi dropped 3.45% at the open, and the Kosdaq was down 2.30%. Australia's S&P/ASX 200 showed a largely flat trend.

Markets in China and Hong Kong followed suit with declines. The Hang Seng Index in Hong Kong fell 0.33%, and China's CSI 300 dropped 0.66%, primarily pulled down by technology and basic material stocks. The market slide coincides with Saudi Arabia's closure of its East-West oil pipeline, critical for bypassing the strategic Strait of Hormuz, amid escalating geopolitical tensions.

Oil prices surged sharply in response to renewed attacks in Saudi Arabia and in the Gulf region, compounding fears of significant disruptions in global energy supply lines. Brent crude futures rose by 2.6% to reach USD 107.36 per barrel, building on a 9% increase from the previous week, while West Texas Intermediate (WTI), US crude, climbed 2.4% to USD 102.48 per barrel.

At present, Brent crude is trading close to USD 107.86 per barrel, with WTI at about USD 103.18 per barrel. In the meantime, gold prices dipped 0.3% to USD 4,336 an ounce due to ascending bond yields which diminished the attraction of the asset lacking interest. The precious metal currently trades around USD 4,331.20 an ounce.