Indian equities opened sharply lower on Friday as renewed geopolitical tensions in the Middle East pushed Brent crude above $108 a barrel.

The Indian rupee came under renewed pressure on Friday, weakening to around Rs.95.46 against the US dollar as elevated crude prices and a broader risk-off mood weighed on emerging-market currencies.

Escalating conflict in the Middle East is increasingly affecting financial markets through its impact on shipping and energy routes.

Indian equities are likely to begin Thursday’s session on a cautious note as the escalation in the Middle East conflict keeps crude oil prices above the $100-per-barrel level.

The continuing conflict between the US and Iran is creating fresh concerns for global energy markets after attacks involving shipping near the Strait of Hormuz. Iran has reported attacks on vessels in the region following US strikes on Iranian oil tankers.

Gold prices moved higher on Thursday as a softer US dollar provided support to bullion. Spot gold rose around 0.3% to $4,412.84 an ounce, while silver also gained during early trading.

Gold and silver continued to witness sharp fluctuations as global investors assessed rising geopolitical risks and the outlook for US interest rates.

Indian equity markets came under fresh selling pressure on Wednesday, with the Sensex slipping below the 75,000 level and the Nifty falling under 23,500.

The Middle East conflict intensified further after fresh attacks increased concerns about the security of energy infrastructure and oil supplies. Brent crude climbed towards $100 per barrel, marking one of the biggest concerns for global markets.

Gold prices moved higher for the second consecutive session as a weaker US dollar improved the appeal of precious metals. Investors are also closely watching upcoming US inflation data, which could influence the Federal Reserve’s next interest-rate decision.