Mumbai, April 20 : Domestic equity benchmarks traded in negative territory early on Monday over fresh US-Iran conflict in the Strait of Hormuz, despite positive cues from global markets and positive earnings from banking firms.

Sensex traded at 78,261, down 0.29 per cent or 232 points in early trade, while Nifty declined as much as 0.46 per cent, or over 100 points, to 24,241 amid selling pressure in realty, metal, and energy stocks.

Hindalco Industries, TMPV, Eternal, HDFC Life, HDFC Bank, BEL, Bajaj Finserv and Kotak Mahindra Bank were among the top losers in early trade.

"The broader message remains clear: momentum is building, but conviction continues to depend on global stability. Until greater clarity emerges on the geopolitical front, markets are likely to remain reactive, with opportunities driven more by tactical positioning than by a sustained directional trend," said analysts.

On the institutional front, FIIs were net buyers in the last session, purchasing equities worth Rs 683 crore, while DIIs were net sellers, booking profits worth Rs 4,721 crore.

According to equity analysts, the market setup for the day suggests a positive to range-bound opening, supported by global cues and underlying strength. However, some profit booking or consolidation at higher levels cannot be ruled out, they said.

Fresh jitters were triggered after Iran again imposed restrictions on shipping through the Strait of Hormuz. The country had earlier announced the reopening of Hormuz.

Moreover, crude oil prices rose again. Brent crude was trading 7.18 per cent higher at $96.87 per barrel, while US WTI crude climbed to $91.20, up 8.76 per cent from the previous close.

In global equity markets, Asian indices showed positive performance, with Japan's Nikkei, Hong Kong's Hang Seng, and South Korea's KOSPI trading up to 1 per cent higher each.

In the previous session, Wall Street also ended on a bullish note, with the S&P 500 settling 1.2 per cent higher and the Nasdaq ending 1.52 per cent up.

/IANS