Closing Bell: Sensex, Nifty Recover in Closing Auction; Rupee Slips, Crude Holds Above $100

Market Update at 04:10 PM: The Indian benchmark indices ended Thursday’s session higher, but the recovery remained subdued as global uncertainties continued to weigh on investor sentiment. Persistent tensions in the Middle East kept crude oil prices above USD 100 per barrel, raising concerns over inflation and currency stability. Investors also remained cautious ahead of key U.S. economic data and the upcoming Federal Reserve policy decision.

The Nifty 50 opened at 23,446.60 and remained volatile throughout the session. The index attempted to move higher in the first half, touching an Intraday high of 23,494.95, before selling pressure at elevated levels dragged it to a low of 23,380.10.

However, buying interest emerged during the closing auction session, helping the benchmark indices recover from their intraday lows. The Nifty 50 closed above the 23,450 level, while the Sensex settled above the 74,900 mark.

At the close, the Nifty 50 ended at 23,477.80, gaining 46.80 points or 0.20 per cent. The Sensex advanced 138.38 points to close at 74,902.60. The Bank Nifty outperformed the broader market, gaining 0.31 per cent. Meanwhile, India VIX declined 1.44 per cent and slipped below the 12 level, indicating some moderation in market volatility.

The ongoing escalation in Middle East tensions continued to support crude oil prices, with Brent crude sustaining levels above USD 100 per barrel. Concerns over potential disruptions to energy supplies from the region kept investors cautious.

Brent crude gained around 0.8 per cent to trade near USD 102 per barrel, while WTI crude also moved higher following a strong rally in the previous session. Market participants are closely monitoring China’s crude import activity, as demand from the world’s largest crude importer could influence the sustainability of current oil prices.

For India, elevated crude prices remain a key concern because of the country’s dependence on oil imports. Rising energy costs could affect inflation, corporate margins, aviation companies and oil marketing companies.

Meanwhile, the Indian rupee extended its decline for the third consecutive session as rising oil prices, increased dollar demand due to derivative maturities and corporate hedging pressure weighed on the currency.

The rupee weakened 0.3 per cent to close at Rs 95.44 per U.S. dollar, marking its steepest single-day decline since mid-July and its lowest level in more than a week.

Investor interest in equity Mutual Funds remained strong in August 2026, with net inflows rising 19 per cent month-on-month to Rs 29,328.62 crore.

Small-Cap funds attracted the highest inflows of Rs 7,973.33 crore, followed by Mid-Cap and flexi-cap funds, highlighting continued investor preference for long-term wealth creation opportunities.

Gold ETFs also witnessed increased demand as investors sought to diversify portfolios amid uncertainty across global markets. Debt Funds recorded outflows after strong inflows in July, while Hybrid Funds continued to attract investor interest.

The broader market remained weak despite gains in the benchmark indices. The Nifty Midcap 100 index declined 0.38 per cent, while the Nifty Smallcap 100 index slipped 0.07 per cent. Market breadth remained negative, indicating weak broader participation despite the recovery in frontline stocks.

Sectoral performance remained mixed, with only four of the 11 major sectoral indices closing higher. The Nifty Financial Services index emerged as the top performer, gaining 0.57 per cent and ending its three-session losing streak. HDFC Life was among the key contributors, with the stock rising more than 2 per cent.

On the other hand, the Nifty Metal index declined 0.65 per cent, making it the biggest sectoral laggard. Twelve of its 15 constituents ended the session in negative territory.

European markets traded with mixed momentum as investors assessed commodity price movements, geopolitical risks and economic developments.

Germany’s DAX index traded marginally higher at 25,560.19, gaining 5.91 points or 0.02 per cent. France’s CAC 40 advanced 11.90 points or 0.15 per cent to 8,168.57, while the UK’s FTSE 100 declined 40.99 points or 0.38 per cent to 10,629.07.

European indices remained largely range-bound as investors balanced concerns over geopolitical developments with expectations around global interest rate movements.

U.S. stock futures traded mixed ahead of the market opening, reflecting caution among investors amid uncertainty over global markets, interest rates and upcoming economic indicators.

Dow Jones futures traded at 52,526.00, gaining 101 points or 0.19 per cent. S&P 500 futures rose 7.75 points or 0.10 per cent to 7,651.50, while Nasdaq 100 futures declined 52.25 points or 0.18 per cent to 29,396.50.

The mixed trend indicated that investors remained watchful of upcoming economic data and developments that could influence monetary policy expectations.

Market Update at 2:40 PM: Indian benchmark indices traded in a narrow range on Thursday as investors assessed the outlook for crude oil prices amid persistent geopolitical tensions. Market participants remained cautious, tracking developments in global energy markets and their potential impact on inflation and corporate earnings.

As of 2:32 PM, the Nifty 50 fell 13.70 points, or 0.06 per cent, to 23,417.80. The BSE Sensex declined 10.84 points, or 0.01 per cent, to 74,717.43.

Mahindra & Mahindra, Eternal and Shriram Finance were the Top Losers in the Nifty 50 index during the session.

In the broader market, the Nifty MidCap index declined 0.39 per cent, while the Nifty SmallCap index edged up 0.03 per cent, indicating a mixed trend across mid- and small-cap stocks.

Among sectoral indices, the Nifty PSU Bank index outperformed the broader market, gaining more than 1 per cent. On the other hand, the Nifty Auto and Nifty Realty indices emerged as the biggest laggards.

Market Update at 01:00 PM: The Nifty 50 and the Sensex traded in a narrow range on Thursday as investors assessed the outlook for crude oil prices amid persistent geopolitical tensions.

As of 12:55 PM, the Nifty 50 was trading at 23,451.40, up 19.90 points or 0.08 per cent, while the Sensex stood at 74,840.03, gaining 75.80 points or 0.10 per cent. Market participants remained cautious as movements in oil prices and geopolitical developments continued to influence sentiment.

Mahindra & Mahindra, Eternal and Shriram Finance were among the top losers in the Nifty 50 index during the session.

In the broader market, the Nifty MidCap index declined 0.36 per cent, while the Nifty SmallCap index was down 0.03 per cent, indicating a mildly weak trend beyond the benchmark indices.

Sector-wise, the Nifty PSU Bank index outperformed with a gain of more than 1 per cent. In contrast, the Nifty Auto and Nifty Realty indices declined the most among the major sectoral indices.

Market Update at 10:30 PM: Indian benchmark equity indices traded in a narrow range on Thursday as market participants assessed the outlook for crude oil prices amid persistent geopolitical tensions. Investors remained cautious, tracking developments in global oil markets and their potential impact on domestic equities.

As of 10:00 AM, the Sensex rose 44.77 points, or 0.06 per cent, to 74,809.00. Meanwhile, the Nifty 50 was trading flat at 23,430.50, indicating a lack of clear direction in early trade.

Among the Nifty 50 constituents, Mahindra & Mahindra, Eternal and Shriram Finance were the top losers, weighing on the benchmark index.

In the broader market, the Nifty MidCap index declined 0.36 per cent, while the Nifty SmallCap index edged lower by 0.03 per cent, reflecting a cautious trend across broader equities.

Sector-wise, the Nifty PSU Bank index outperformed, gaining more than 1 per cent. In contrast, the Nifty Auto index witnessed the sharpest decline among the major sectoral indices.

Market Update at 09:30 AM: Indian markets traded in a narrow range as investors monitored crude oil prices and persistent geopolitical tensions.

As of 9:20 AM, the Sensex rose 65.11 points or 0.09 per cent to 74,829.34, while the Nifty 50 gained 11 points or 0.05 per cent to 23,442.50.

The broader market witnessed mixed trading. The Nifty Midcap 100 index declined 0.15 per cent in the opening session, while the Nifty Smallcap 100 index gained 0.21 per cent.

Among Sensex constituents, SBI, Axis Bank and ITC were among the Top Gainers in early trading, while M&M and Tata Steel emerged as laggards.

Investors remained cautious as market participants continued to track crude oil prices and geopolitical developments, which could influence inflation, corporate earnings and overall market sentiment.

Pre-Market Update at 7:40 AM: GIFT Nifty was trading around 23,488 in early trade on September 10, 2026, indicating a flat start for Indian benchmark indices. However, the opening signal remains cautious amid rising crude oil prices, geopolitical tensions and weakening global risk sentiment.

The Nifty 50 declined 203.60 points or 0.86 per cent in the previous session to close at 23,431.50, its lowest level since June 11. The index remained under selling pressure throughout the session.

U.S. equity markets ended lower on Wednesday as crude oil prices crossed the USD 100 per barrel mark, raising concerns over inflation and interest rates. The Dow Jones Industrial Average declined 0.77 per cent to 52,380.66, while the S&P 500 fell 0.48 per cent to 7,636.36. The Nasdaq Composite declined 0.64 per cent to 26,253.34.

The sell-off was primarily driven by escalating Middle East tensions and the resulting surge in crude oil prices. Higher energy costs have raised concerns that inflation could remain elevated, potentially limiting the pace of monetary easing. The U.S. 10-year Treasury yield also moved towards 4.84 per cent, adding pressure on equity valuations.

Asian markets opened cautiously as investors assessed the impact of higher oil prices and renewed inflation risks. Japan’s Nikkei 225, Hong Kong’s Hang Seng, Shanghai Composite and South Korea’s Kospi remained sensitive to developments in crude oil and geopolitical risks.

European markets also closed lower in the previous session as rising energy prices heightened concerns over inflation and economic growth.

Brent crude remained above USD 100 per barrel, with the latest reports indicating Brent futures near USD 101.34 per barrel. WTI crude was around USD 96.55 per barrel. The sharp increase in crude prices is a concern for oil-importing economies such as India and could negatively affect aviation, paints and oil marketing companies through higher input costs.

Gold continued to attract safe-haven demand amid geopolitical uncertainty, with international gold prices near USD 4,396 per ounce. Domestic MCX gold and silver levels were not independently verified before publication.

The U.S. Dollar Index remained firm as investors monitored inflation and interest rate expectations. The combination of a stronger dollar and higher U.S. Treasury yields could continue to influence foreign portfolio flows into emerging markets.

The Indian rupee weakened towards 94.82 against the U.S. dollar in the previous session as crude prices climbed and foreign investors reduced exposure to Indian equities. Another report indicated that the rupee slumped 34 paise to close at 95.08 against the U.S. dollar on Wednesday.

The U.S. 10-year Treasury yield remained elevated near 4.84 per cent. Higher U.S. yields generally increase the attractiveness of dollar assets and can put pressure on emerging-market equity flows.

Foreign portfolio investors were net sellers of Rs 583 crore on Wednesday, while domestic institutional investors were net buyers of Rs 1,509 crore. Another latest available data point showed FPI selling at Rs 123 crore and DII buying at Rs 1,350 crore.

The Sensex declined 813.35 points or 1.08 per cent to close at 74,764.23. The Nifty 50 moved between an intraday high of 23,571.55 and a low of 23,431.50 before ending at 23,431.50.

Technically, the Nifty 50 has immediate support near 23,400, followed by the 23,200 zone. On the upside, 23,600 to 23,700 remains an important resistance area. Analysts have indicated that holding above 23,500 could support a meaningful recovery, while a sustained fall below 23,400 may trigger further correction.

For Bank Nifty, support is seen around 55,500 to 56,000, while the 56,800 to 57,000 zone is likely to act as resistance.

India VIX rose sharply in the previous session, reflecting higher expected volatility. The latest available reading showed India VIX near 11.71, up around 4.95 per cent, while another report indicated a 6.81 per cent rise to 11.92.

Asian equities opened on a weaker note, tracking losses on Wall Street as surging oil prices and Treasury yields increased inflation concerns ahead of key U.S. price data. U.S. oil extended its rally for an eighth consecutive session.

Hang Seng futures fell 0.9 per cent, Nikkei 225 futures declined 1.3 per cent, Japan’s Topix fell 0.4 per cent and Australia’s S&P/ASX 200 declined 1.7 per cent. S&P 500 futures and Euro Stoxx 50 futures were little changed.

The securities in the F&O ban period on Thursday include SAIL, LIC Housing Finance, Inox Wind, Kaynes, Manappuram and Bandhan Bank.

Securities enter the F&O ban period when their market-wide position limit utilisation crosses 95 per cent.

Rising geopolitical risks pushed Brent crude above the USD 100 per barrel mark. Higher crude prices could increase inflationary pressure and negatively affect aviation, paints and oil marketing companies.

The Nifty 50 declined sharply in the previous session as crude oil concerns combined with weakness in IT stocks, weighing on overall market sentiment.

Several IPOs are open for subscription, with around Rs 7,288 crore worth of issues entering the market during the week. Elevated primary-market activity could influence liquidity allocation.

Adani Enterprises shares gained 5.13 per cent in the previous session following developments related to a partial stake sale in its airport business. The transaction improved sentiment around asset monetisation.

Adani Ports gained around 3.80 per cent amid strength across Adani group stocks.

Infosys shares declined sharply amid heavy selling pressure across the IT sector, falling around 4.34 per cent in the previous session.

HCL Technologies declined around 3.69 per cent amid broad-based weakness in IT stocks.

Coforge remained under pressure amid concerns related to management developments, adding to weakness in the IT sector.

The Nifty 50’s immediate support is placed near 23,400, followed by 23,200. On the higher side, 23,600 to 23,700 remains the key resistance zone. For Bank Nifty, 55,500 to 56,000 is the immediate support area, while 56,800 to 57,000 remains the key resistance zone.

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

What’s your strategy for today’s volatile market? Share in the comments!