Closing Bell: Sensex Crashes 1,313 Points, Nifty 50 Slips Below 23,820 as Crude Oil Crosses $100 and Rupee Weakens

Market Update at 04:07 PM: Indian equity benchmarks ended sharply lower on Monday, May 11, amid rising geopolitical tensions, surging crude oil prices, weakness in the Indian rupee, and concerns over foreign exchange reserves after Prime Minister Narendra Modi urged citizens to conserve fuel, reduce imports, and limit gold purchases.

The benchmark indices witnessed broad-based selling pressure throughout the session. The Sensex declined 1,312.91 points, or 1.70 per cent, to close at 76,015.28, while the Nifty 50 dropped 360.30 points, or 1.49 per cent, to settle at 23,815.85.

The Nifty 50 opened nearly 200 points lower and extended losses during the day to hit an Intraday low of 23,799.10 before closing slightly above the 23,800 mark. The Bank Nifty also ended under pressure, falling over 1.57 per cent to settle just above the 54,400 level. Meanwhile, volatility spiked sharply, with the India VIX index surging around 10 per cent to move above 18.5.

Global crude oil prices remained elevated amid escalating tensions in the Middle East. Brent crude futures, which have risen nearly 45 per cent since the U.S. and Israel began strikes on Iran on February 28, climbed as much as 5.29 per cent during Monday’s trade. Brent crude was last trading near USD 103 per barrel, up around 2 per cent for the day.

The sharp rise in crude oil prices weighed heavily on investor sentiment, particularly given India’s dependence on energy imports.

The Indian rupee also came under pressure, declining 0.69 per cent against the U.S. dollar to 95.1350. Currency traders remained cautious after U.S.-Iran peace talks reportedly reached a stalemate, while concerns over India’s foreign exchange reserves further impacted sentiment.

Data released by the Association of Mutual Funds in India (AMFI) showed that the mutual fund industry recorded overall net inflows of Rs 3.22 lakh crore in April, marking a 25 per cent increase from Rs 2.39 lakh crore in March.

However, active equity mutual fund inflows declined 5 per cent month-on-month to Rs 38,440 crore. Debt mutual funds witnessed a strong rebound, attracting inflows of Rs 2.47 lakh crore.

Systematic Investment Plan (SIP) contributions moderated slightly to Rs 31,115 crore in April compared to Rs 32,087 crore in March.

Sectorally, market performance remained largely weak, with only two of the 11 major sectoral indices closing in positive territory. Broader markets also ended lower, as the Nifty Midcap index slipped 1.05 per cent and the Nifty Smallcap 100 index fell 1.13 per cent.

The Nifty Pharma index emerged as the top-performing sector, rising 0.25 per cent. In contrast, the Nifty Realty index was the worst-performing sector, declining 3.05 per cent for the second straight trading session. All constituent stocks within the realty index ended in negative territory.

Among stock-specific moves, oil marketing companies remained under pressure as higher crude oil prices raised concerns over margins. Shares of Indian Oil Corporation, Bharat Petroleum Corporation (BPCL), and Hindustan Petroleum Corporation (HPCL) fell over 2 per cent each.

Travel and tourism-related stocks also witnessed selling pressure. Indian Hotels, Lemon Tree Hotels, Chalet Hotels, Thomas Cook India, and Yatra Online declined between 1.03 per cent and 5.4 per cent. Airline operator IndiGo dropped 4.94 per cent during the session.

Jewellery stocks also saw sharp losses amid concerns over reduced discretionary spending and higher gold prices. Titan Company, Senco Gold, and Kalyan Jewellers declined more than 6 per cent each.

Defying the broader market weakness, Hyundai Motor India gained 2.92 per cent after the company reported a smaller-than-expected decline in quarterly profit, supported by robust domestic and export demand.

Among the top contributors supporting the Nifty 50 index were Tata Consumer Products, which added 13.32 points, followed by Sun Pharmaceutical Industries with 5.83 points and Max Healthcare Institute with 4.09 points.

On the downside, Reliance Industries dragged the index by 69.02 points, while HDFC Bank and Bharti Airtel weighed down the benchmark by 57.24 points and 49.84 points, respectively.

Market breadth on the NSE remained decisively negative on May 11. Out of 3,422 stocks traded, 963 stocks advanced, while 2,366 declined and 93 remained unchanged.

A total of 133 stocks touched their 52-week highs during the session, whereas 19 stocks hit their 52-week lows. Additionally, 98 stocks were locked in Upper Circuits, while 105 stocks hit Lower Circuits.

Market Update at 2:19 PM: Indian equity benchmark indices traded sharply lower on Monday, tracking weak global market sentiment and rising geopolitical tensions in West Asia. Investor sentiment remained under pressure as crude oil prices surged following fresh developments involving the U.S. and Iran.

The Nifty 50 was trading 205.15 points, or 0.85 per cent, lower at 23,970.50, while the Sensex declined 792.00 points, or 1.02 per cent, to 76,539.67 during the session.

Among the top laggards on the Nifty 50 index were Titan Company, InterGlobe Aviation, and State Bank of India, as broad-based selling pressure weighed on the markets.

Broader markets also remained under pressure. The Nifty MidCap index was trading 0.82 per cent lower, while the Nifty SmallCap index slipped 0.87 per cent.

On the sectoral front, the Nifty Consumer Durable index emerged as the worst-performing sector. The Nifty Media, Nifty Auto, and Nifty Realty indices also witnessed notable declines. However, the Nifty IT index managed to outperform other sectors and traded with relatively lower losses.

Meanwhile, crude oil prices surged sharply amid fears of prolonged supply disruptions in the global energy market. Brent crude’s May futures contract jumped 4.49 per cent to USD 105.84 per barrel after U.S. President Donald Trump reportedly rejected Iran’s latest proposal aimed at ending the ongoing conflict in West Asia.

The spike in crude oil prices added to concerns over inflationary pressures and increased input costs, which could impact global economic growth and market stability in the near term.

Market Update at 12:36 PM: Indian equity benchmarks traded sharply lower on Monday amid weak global cues and rising geopolitical tensions in West Asia, which pushed crude oil prices higher and weighed on investor sentiment.

The NIFTY 50 declined 248.90 points, or 1.03 per cent, to 23,930.15, while the BSE Sensex fell 900.41 points, or 1.16 per cent, to 76,433.34 during the trading session.

Among the top laggards on the Nifty 50 index were Titan Company, InterGlobe Aviation, and State Bank of India, as broad-based selling pressure continued across sectors.

The broader market indices also remained under pressure. The Nifty MidCap index traded 0.96 per cent lower, while the Nifty SmallCap index slipped 0.98 per cent, indicating weakness beyond frontline stocks.

On the sectoral front, the Nifty Consumer Durable index emerged as the worst-performing sector. The Nifty Media, Nifty Auto, and Nifty Realty indices also witnessed significant declines. However, the Nifty IT index managed to outperform the broader market and emerged as the top-performing sector during the session.

Meanwhile, crude oil prices surged amid fears of prolonged supply disruptions linked to escalating tensions in West Asia. Brent crude’s May futures contract rose 4.49 per cent to USD 105.84 per barrel after U.S. President Donald Trump rejected Iran’s latest proposal aimed at ending the ongoing conflict in the region.

The sharp rise in crude oil prices added to market concerns, as higher energy costs could increase inflationary pressures and impact import-dependent economies such as India.

Market Update at 09:33 AM: Indian benchmark equity indices traded sharply lower on Monday, weighed down by weak global market sentiment and escalating geopolitical tensions in West Asia. Investors remained cautious as rising crude oil prices added pressure on market sentiment.

The Nifty 50 declined 266.75 points, or 1.10 per cent, to trade at 23,909.70, while the Sensex slipped 908.78 points, or 1.18 per cent, to 76,407.18 during intraday trade.

Among the top laggards on the Nifty 50 index were Titan Company, InterGlobe Aviation, and State Bank of India, reflecting broad-based selling pressure across sectors.

Broader markets also remained under pressure. The Nifty MidCap index traded 0.84 per cent lower, while the Nifty SmallCap index declined 1.14 per cent, indicating weakness beyond frontline stocks.

Meanwhile, crude oil prices surged amid fears of prolonged supply disruptions due to ongoing tensions in West Asia. Brent crude’s May futures contract jumped 3.31 per cent to USD 104.64 per barrel after U.S. President Donald Trump reportedly rejected Iran’s latest proposal aimed at ending the regional conflict.

Higher crude oil prices typically raise concerns for the Indian economy, as rising energy costs can impact inflation, corporate margins, and the country’s import bill.

Pre-Market Update at 7:48 AM: Indian benchmark indices Sensex and Nifty 50 are likely to begin Monday’s session on a weak note amid mixed global cues, rising geopolitical tensions between the U.S. and Iran, and a sharp rally in crude oil prices. Gift Nifty was hovering near the 24,053 mark, trading at a discount of around 163 points to the previous close of Nifty futures, indicating a gap-down opening for domestic equities.

Asian markets traded mixed, while U.S. stock futures slipped after U.S. President Donald Trump and Iran rejected a proposed peace agreement aimed at easing the ongoing Middle East conflict. Investors will closely monitor developments related to the U.S.-Iran conflict, a possible meeting between President Trump and Chinese President Xi Jinping, crude oil price movements, Q4FY26 earnings, foreign institutional investor activity, and key domestic and global macroeconomic data during the week.

Geopolitical tensions remained elevated after both the U.S. and Iran rejected each other’s latest peace proposals despite a fragile ceasefire. President Trump, in a post on Truth Social, described Iran’s response through diplomatic channels as “totally unacceptable,” signalling continued uncertainty in the region. The ongoing crisis around the Strait of Hormuz has intensified concerns over global energy supplies and inflationary pressures, keeping global markets volatile.

Prime Minister Narendra Modi urged citizens to adopt Covid-era measures such as work-from-home, virtual meetings, use of public transport, car-pooling, and electric vehicles to reduce the economic impact of the Middle East crisis and rising fuel prices. The Prime Minister also advised people to avoid unnecessary foreign travel, overseas weddings, and non-essential gold purchases in an effort to conserve India’s foreign exchange reserves amid disruptions in global supply chains.

U.S. job growth data came in stronger than expected in April. Nonfarm payrolls increased by 115,000 jobs after an upwardly revised gain of 185,000 in March. Economists surveyed by Reuters had expected payroll growth of 62,000 jobs. The stronger labour market data reinforced expectations that the U.S. Federal Reserve may maintain elevated interest rates for longer.

Crude oil prices rallied sharply after the failure of peace negotiations between the U.S. and Iran. Brent crude futures surged 3.43 per cent to USD 104.76 per barrel, while U.S. West Texas Intermediate crude rose 3.68 per cent to USD 98.93 per barrel. The continued disruption near the Strait of Hormuz has heightened fears of tighter global oil supplies, which could increase inflationary pressures globally.

The U.S. dollar strengthened against major global currencies. The dollar index, which measures the greenback against a basket of six currencies, stood at 98.01.

From a derivatives perspective, the Put-Call Ratio (PCR) stood at 0.79. On the put side, major open interest was concentrated at the 23,500 and 24,000 strikes, indicating these levels may act as immediate support zones. On the call side, significant open interest addition was witnessed at the 24,200 strike, suggesting strong resistance around that level. High open interest was also visible at the 24,500 strike among near out-of-the-money call options.

The Nifty 50 remained under pressure for the second straight session on May 8, falling around 0.6 per cent as the index failed to sustain above the 50 per cent Fibonacci retracement level of the February-April correction and the 50-day EMA. However, the benchmark continued to hold above the 20-day EMA, which has acted as a strong support level over the last two weeks. Analysts expect the index to trade within the 24,000-24,500 range in the near term. A decisive breakout on either side could determine the next directional move. Immediate support is placed near 23,800, while the 24,600-24,800 zone is expected to act as a key resistance area.

Several companies are scheduled to announce Q4FY26 earnings on May 11, including Abbott India, Anant Raj, Aurionpro Solutions, Canara Bank, Indian Hotels Company, JSW Energy, PVR Inox and UPL among others.

No stock has been placed under the futures and options ban list for May 11.

Foreign Institutional Investors (FIIs) remained net sellers on May 11, offloading equities worth Rs 4,110.60 crore. Domestic Institutional Investors (DIIs), however, bought shares worth Rs 6,748.13 crore during the session.

The Indian stock market ended lower on Friday for the second consecutive session due to selling pressure in index heavyweights amid rising oil prices and geopolitical concerns. The Sensex declined 516.33 points, or 0.66 per cent, to close at 77,328.19, while the Nifty 50 fell 150.50 points, or 0.62 per cent, to settle at 24,176.15.

U.S. markets ended higher on Friday, supported by strong gains in AI-linked technology stocks. The S&P 500 and Nasdaq Composite closed at fresh record highs and extended their winning streak to six consecutive weeks. The Dow Jones Industrial Average gained 0.02 per cent to close at 49,609.16. The S&P 500 rose 0.84 per cent to 7,398.93, while the Nasdaq Composite surged 1.71 per cent to 26,247.08.

Among major movers, Nvidia advanced 1.76 per cent, AMD jumped 11.44 per cent, and Intel rallied 13.93 per cent. Apple gained 2.03 per cent, while Tesla rose 4.02 per cent.

Gold prices slipped as rising oil prices and continued geopolitical tensions fuelled concerns that inflation may remain elevated, potentially delaying interest rate cuts. Spot gold prices fell 0.6 per cent to USD 4,687.49 per ounce, while spot silver prices remained steady at USD 80.32 per ounce.

Disclaimer: The article is for informational purposes only and not investment advice.

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