Defence Stocks Rally While Nifty Falls Over 300+ Points Amid Rising Iran–US Tensions & More – Paper by Pocketful

Mar 02, 2026

Bharti Airtel (0.32%): Stock remained flat after partnering with Google for RCS messaging, improving user experience but lacking immediate revenue impact, keeping investor sentiment neutral.
Bharat Electronics (+2.08%): Stock gained after announcing an interim dividend of ₹1.95 per share, while rising Iran–US tensions boosted defence stocks on expectations of higher global orders and stronger future growth visibility.
Eleganz Interiors (-4.65%): Stock fell despite securing a ₹122.02 crore order from Global Information Technology Organisation, as muted sentiment and profit booking overshadowed the positive order inflow and growth visibility.
Brigade Enterprises (-2.23%): Stock declined despite launching Brigade Stellaris in Chennai with ₹1,700 crore GDV, as execution timelines, demand visibility concerns, and profit booking weighed on investor sentiment.

India Defence | Nifty India Defence (+0.49%): Index rallied amid rising Iran–US tensions, led by gains in Bharat Electronics, Solar Industries India, and Hindustan Aeronautics, as heightened geopolitical risks boosted expectations of increased defence spending and stronger order inflows.
Metal | Nifty Metal (+0.24%): Index advanced amid global uncertainty, as investors shifted towards metals as a defensive hedge. With 7 gainers and 7 losers, the sector showed balanced participation and cautious buying interest.
Infra | Nifty Infra (-2.23%): Index declined sharply amid broad-based selling pressure, with 3 gainers and 27 losers, indicating weak sentiment across the sector despite its strong long-term performance.
Auto | Nifty Auto (-2.20%): Index declined amid global uncertainty and weak sentiment, with major losses in Maruti Suzuki India, Mahindra & Mahindra, and Eicher Motors. Rising oil prices, profit booking, and demand concerns amid inflation fears weighed on the sector.

Technical Level: Nifty opened with a sharp gap-down of over 600 points, recovered in early trade, but gradually drifted lower through the session, finding support near 24,603 and facing resistance around 24,900.
Advance-Decline Ratio: Market Breadth Remained sharply negative, with 651 advances against 2,578 declines, indicating broad-based selling pressure and weak overall market sentiment.
The Big Picture: US markets turned sharply negative as Dow futures fell over 600 points amid rising Iran–US tensions. Oil prices surged, while gold gained as investors rushed to safe havens. Fears of supply disruptions, inflation, and broader conflict increased tail risk, prompting caution. However, a sustained crash depends on escalation, not just initial geopolitical shocks.
FII/DII Activity (Mar 2, 2026): DII bought ₹8,594 crore while FII sold ₹3,295 crore, but heavy selling pressure dominated the market, indicating weak sentiment despite strong domestic institutional support.

IPO Corner: SEDEMAC Mechatronics IPO opens on Wednesday, drawing attention amid rising interest in the auto components segment.
Macro: EURO Inflation Rate YoY Flash (Feb) & JPN Unemployment Rate (Jan) are scheduled to be released Tomorrow.
Index Watch: Nifty opened with a huge gap-down amid escalating Iran–US conflict, saw early recovery from key support near 24,600, but remained under pressure throughout the session. Weak global cues, rising oil prices, and negative sentiment suggest volatility ahead. Immediate resistance stands near 25,000, while a breakdown below 24,600 could trigger further downside.

Survivorship Bias : Survivorship bias occurs when analysis focuses only on successful outcomes, ignoring failures, leading investors to overestimate skill, underestimate risk, and draw misleading conclusions from incomplete market evidence and history repeats.

Pocketful Paper