The Nifty Midcap 100 index hit a record high of 62,299 on Tuesday, rising 0.54% despite declines in the benchmark Sensex and Nifty indices. The Sensex fell 479 points or 0.6% to 76,009.70, while the Nifty dropped 118 points or 0.5% to 23,914. Geopolitical tensions, particularly fresh US strikes on Iran, have dampened market sentiment, pushing Brent crude prices up by 2.5% to $96 per barrel and causing the Indian rupee to depreciate by 0.5% to 95.7 against the dollar. The Nifty Midcap 100 has gained 18.3% in the current financial year, contrasting with the Sensex and Nifty, which are 11.4% and 9.2% below their peaks, respectively. Experts attribute the strong performance of midcaps to their appeal among domestic retail and high-net-worth investors, as they are less affected by foreign portfolio investor selling. The ongoing demand for mid-cap mutual funds and the potential for mid-caps to grow into large-cap stocks are also contributing factors.