Indian equity benchmarks faced major declines in afternoon trading, with the Nifty 50 index falling 224.65 points or 0.99% to 22,445.25 and the S&P BSE Sensex dropping 760.75 points or 1.04% to 72,373.57. This downturn was influenced by global risk aversion following U.S. President Donald Trump's hawkish remarks regarding Iran, which have raised concerns about escalating conflict. Additionally, Brent crude oil prices surged towards $105, exacerbating inflation worries. The market breadth was negative, with 2,130 shares declining against 1,866 advancing. The NSE's India VIX, a measure of expected market volatility, increased by 4.09% to 26.04. On the economic front, India's manufacturing activity, as measured by the Purchasing Managers Index (PMI), eased to 53.9 in March 2026, marking a significant decline from 56.9 in February and indicating softening demand conditions. In the broader market, the BSE MidCap and SmallCap indices also recorded losses of 1.35% and 0.91%, respectively. European markets reacted sharply lower, reflecting global apprehensions, while Asian markets reversed earlier gains amid Trump's comments on the Iran conflict.