Sensex, Nifty Stage Sharp Recovery, Brent Slips Below $90

Mumbai: Indian equity benchmarks staged a sharp recovery around 2.30 pm, with the Sensex and Nifty erasing a substantial portion of their intraday losses.

The late-session rebound brought both indices close to positive territory as buying gathered momentum across select heavyweight counters.

Brent Crude Falls Below USD 90

The recovery was driven primarily by a steep decline in Brent crude. The global oil benchmark dropped to around USD 89 a barrel, slipping to its lowest level in nearly a week.

Brent was down more than 2% during the session, easing concerns over India’s import bill and inflation outlook. Latest market data showed the benchmark falling as low as USD 89.06 a barrel. Trading Economics

India imports most of its crude oil requirements. Consequently, cheaper oil is considered positive for the economy as it can reduce import costs, ease pressure on the rupee and curb inflation.

Lower crude prices may also provide relief to oil-sensitive businesses, including aviation, paints, tyres, chemicals and logistics companies.

Global Risk Appetite Improves

Global cues also strengthened during the afternoon. Nasdaq-100 futures extended their advance as US technology shares prepared for a positive opening.

Bitcoin climbed to around USD 80,000, indicating renewed appetite for riskier assets among global investors. US equity futures advanced as attention shifted towards technology earnings and forthcoming economic signals. MarketWatch

Final-Hour Buying Strengthens

The combination of softer crude oil prices, firmer US futures and renewed global risk appetite triggered stronger buying during the final trading hour.

However, investors continued to track geopolitical tensions, foreign fund flows and movements in global energy prices before taking aggressive positions.