The NSE Nifty ended at 23,639.15, down 227.70 points or 1%. The BSE Sensex ended at 76,034.42, down 829.29 points or 1.1%. Both indices ended at their lowest levels since April 2025.
Brent crude futures rose more than 5% to nearly $97 on Thursday. Prices briefly touched the $100 mark during the day.
Pankaj Pandey, head of retail research at ICICI Securities, said: “The street has already witnessed this during the Russia-Ukraine war in 2022, when markets fell by around 11%, and the Nifty has already fallen by around 6%.” “If crude oil prices remain high, further cuts cannot be ruled out.”
InstitutionsOil Feed Uncertainty: If Nifty fails to hold above 23,500, it could fall to 23,200-23,000 range. Selling after a 2,000-pt correction from recent highs may lead to a slight pullback.
Once the conflict subsides, markets usually return to a double-digit gain path, Pandey said.
Sectorally, the Nifty Auto Index fell 3.2%, and the Nifty FMCG Index fell 1.8%, while the Bank Nifty declined 1.1%. The Nifty private banking and real estate indices were down 1.6% each.
The Volatility Index (VIX) rose 2.2% to 21.5, indicating that traders do not expect risks to ease in the near future. “Markets have sold off after a 2,000-point correction from recent highs, so there is potential for some recovery,” said Ajit Mishra, senior vice president of research at Releger Broking.
However, until crude oil prices stabilize, investors should brace for further declines as the overall outlook remains low and any gains could lead to selling pressure.
