Sensex, Nifty rise as crude oil slumps, ceasefire hopes lift markets

Equity benchmarks surged in early trade on Wednesday, buoyed by a sharp fall in crude oil prices and growing hopes of a diplomatic resolution to the US-Iran conflict, even as persistent foreign institutional investor (FII) outflows and a weakening rupee kept gains in check.

The Sensex, which closed at 74,068.45 on Tuesday, opened at 74,652.01 and was trading at 74,890.08, up 821.63 points or 1.11 per cent, at 9.25 am. The Nifty 50, which ended the previous session at 22,912.40, opened at 23,064.40 and climbed to 23,194.85, gaining 282.45 points or 1.23 per cent, at the same time.

Crude oil prices fell sharply on Wednesday morning following reports of US-led diplomatic efforts to end the war with Iran. June Brent crude futures were at $96.11, down 4.11 per cent, while May WTI crude was at $89.10, down 3.52 per cent. On the Multi Commodity Exchange, April crude futures dropped 4.11 per cent to ₹8,377 per barrel against the previous close of ₹8,736.

“Hope is returning to the market with indications of de-escalation in the conflict,” said Dr VK Vijayakumar, Chief Investment Strategist at Geojit Investments. “The reiteration from Iran that ‘non-hostile ships can transit the Strait of Hormuz’ is good news that will mitigate India’s energy concerns. These positive geopolitical developments have reflected in sharp decline in Brent crude to around $98.”

Top gainers and losers

Financial services and infrastructure stocks led gains on the Nifty 50. Shriram Finance was the top gainer, rising 3.82 per cent to ₹938.10 from a previous close of ₹903.60. UltraTech Cement advanced 3.10 per cent to ₹11,098 against its previous close of ₹10,764. Adani Enterprises gained 2.87 per cent to ₹1,870 from ₹1,817.90, while Grasim Industries rose 2.85 per cent to ₹2,622 from ₹2,549.40. Adani Ports climbed 2.70 per cent to ₹1,380.50 against its previous close of ₹1,344.20.

Information technology stocks were the primary drag on the indices. Tech Mahindra fell 2.56 per cent to ₹1,396 from ₹1,432.70. Infosys slipped 0.73 per cent to ₹1,269 from ₹1,278.30, and HCL Technologies declined 0.70 per cent to ₹1,363.70 against its previous close of ₹1,373.30. In the energy segment, ONGC edged lower by 0.47 per cent to ₹266.80 from ₹268.05, while Coal India fell 0.35 per cent to ₹440.55 from ₹442.10.

“Indian equity markets are expected to begin the March 25 trading session on a positive note,” said Aakash Shah, Technical Research Analyst at Choice Equity Broking. “Accumulating fundamentally strong stocks during market corrections may be a sensible strategy. Initiating fresh long positions is advisable only after the Nifty decisively breaks above and sustains the 24,500 level.”

FIIs continued their selling streak, offloading equities worth more than ₹8,000 crore on March 24, marking their 18th consecutive session of net sales. Domestic institutional investors (DIIs) partially offset the pressure, purchasing equities worth ₹5,867 crore. The Indian rupee remained under pressure, hovering near 94.2 against the US dollar in offshore trade.

Stock-specific developments are also drawing attention. United Spirits is in focus following its plan to divest its stake in the Royal Challengers Bangalore franchise. Waaree Energies announced a significant capital expenditure towards solar glass manufacturing, signalling backward integration in the clean energy space. Asian Paints is implementing price hikes, reflecting its pricing power amid rising input costs.

“If this positive development sustains, there is room for a sharp rebound in the market,” Vijayakumar added. “But if the recovery is to sustain, FIIs should stop their big sustained selling, which, in turn, will require stability in the rupee.”

Technically, Nifty faces resistance in the 23,050–23,100 zone. Ponmudi R, CEO of Enrich Money, noted that “the current move is more of a relief bounce rather than a confirmed trend reversal,” adding that a sustained move above 23,000 is essential before the index can extend gains toward 23,300–23,600. Thursday’s monthly F&O expiry adds an additional layer of uncertainty, with open interest concentration around the 22,500–23,000 range expected to drive volatility.

Published on March 25, 2026