India, June 8 -- Indian stock markets witnessed sharp selling pressure on Monday, with benchmark indices falling more than 1 percent in early trade as investors reacted to rising geopolitical tensions, surging crude oil prices, and sustained foreign fund outflows. The weakness was broad-based, with banking, financial, and heavyweight stocks leading the decline.

Investor sentiment remained fragile amid renewed uncertainty in the Middle East, while higher oil prices raised concerns over inflation and India's import bill. At the same time, continued selling by foreign institutional investors and cautious market positioning following the RBI's latest economic projections added to the risk-off mood, dragging benchmark indices lower.

Index un...