The ongoing geopolitical tensions have led to a 60% increase in Brent crude oil prices since February 28, 2026, raising concerns about a potential downturn in corporate earnings for the Nifty 50 index in India. Analysts from Motilal Oswal anticipate a mere 6% year-on-year growth in Nifty earnings for Q4 FY26, a stark decline from the 18% and 15% growth seen in the previous two quarters. The impact of rising oil prices is already being felt across various sectors, including paints, aviation, and fast-moving consumer goods (FMCG), as companies are forced to raise prices to manage increasing input costs. JM Financial reported that 40% of Nifty companies have experienced cuts in their FY27 earnings per share (EPS) estimates, particularly in sectors like automobiles and pharmaceuticals. In light of these developments, global brokerage firm Goldman Sachs has also downgraded its outlook on Indian equities, predicting a challenging earnings environment due to sustained high energy prices and slower GDP growth.