A sharp rise in crude oil prices led to mixed moves in energy-related sectors on Monday, lifting producers while oil marketing companies and aviation stocks fell.
Higher oil prices lift stocks but drag down oil-dependent sectors
Fuel marketing, aviation and paint share a slide in rising internal costs
Brent crude oil prices rose above $120 a barrel amid the prolonged blockade of the Strait of Hormuz, limited storage capacity in major producing countries, and fresh attacks on oil and gas infrastructure and shipping vessels. The spike has heightened concerns about global supply disruptions.
Rising energy prices, including crude oil, natural gas and coal, are expected to raise inflation in the coming months and weigh on the economic performance of major energy-importing countries such as India, Japan, China, South Korea and Southeast Asian countries.
Equity markets across Asia saw heavy selling pressure, with benchmark indices falling between 5 percent and 8 percent in morning trade. South Korea’s KOSPI hit a lower circuit for the second time in four trading sessions amid widespread selling.
The domestic market has collapsed. The BSE Sensex fell 2,495 points in today’s session, while the Nifty 50 fell 753 points.
Upstream oil producers are benefiting from falling crude prices as higher yields are expected to support earnings. Shares of ONGC rose 3 percent in early trade, opening comfortably at ₹278.50 at ₹289 at 9.32 am on NSE, close to close at ₹278.95. Indian crude rose 4 percent earlier to open at ₹ 503, against ₹ 484.50, but later settled down 2 percent to trade at ₹ 476.45.
OMCs, paint and aviation stocks witnessed significant pressure
In contrast, oil marketing companies faced sales pressure as rising oil prices increased input costs and reduced marketing margins. Shares of HPCL and BPCL fell more than 8 percent to lows of ₹ 370.10 and ₹ 322.80, respectively. Indian Oil Corp fell more than 7 percent to ₹ 156.30.
Paint manufacturers also came under pressure as crude-based derivatives are important raw materials for the sector. Berger Paints and Asia Paints fell about 5 percent as investors factored in higher income costs.
Aviation stocks were hit hardest by the twin effects of rising fuel costs and operational disruptions linked to the West Asian conflict. A weaker currency added to cost pressures. Shares of InterGlobe Aviation, which operates IndiGo, fell more than 8 percent to a 52-week low of ₹4,035. SpiceJet also touched a 52-week low of Rs 12.85 on the BSE.
Market participants warn that if crude prices remain elevated, cost pressures could intensify across sectors, affecting corporate earnings and investor sentiment in the near term.
Posted on March 9, 2026
