Why the Iran War is Hitting Indian Stocks Harder Than Other Markets

• Q4 earnings (up to March 31st) largely beat expectations, supported by monetary easing and consumption tax cuts.
• Strong performance seen in consumption (autos & cooling, staples), financials, and commodities.
• Future earnings estimates (FY27) are seeing cuts due to the full impact of the energy crisis and geopolitical tensions.
• Markets are in a 'party mode' but require crude oil stabilization below $100 and a reversal of FPI outflows for sustained growth.
• Investors should remain stock-specific, focusing on fundamentals and growth at reasonable valuations, and diversify geographically.

India's Q4 earnings largely beat expectations, driven by monetary tailwinds and consumption tax cuts, with strong performance in financials and autos. However, future earnings estimates face cuts due to the full impact of the energy crisis and geopolitical tensions. Experts advise stock-specific investing and geographical diversification, noting that crude oil stabilization and FPI inflows are crucial for sustained market momentum.