India's equity benchmarks fell 1% as U.S. strikes on Iran raised Middle East tensions, oil prices hit five-month highs, and sectors declined.

• U.S. attacks on Iranian sites triggered fears of regional escalation, pushing oil prices up, hurting India's import-dependent economy.
• IT stocks dropped 1.8% due to weak U.S. outsourcing demand; small finance banks rose after relaxed lending rules.
• Analysts expect temporary oil disruptions, but long-term market opportunities may emerge from equity declines.