Indian benchmark equity indices closed lower on Thursday due to fluctuations in global oil prices, leading to selling across various sectors. The Nifty dropped by 0.95 percent to 23,639.15, while the Sensex fell by 1.08 percent to 76,034.42. Analysts noted key support levels at 23,500 and 23,000, with 23,700 and 23,800 acting as immediate resistance levels.
Automakers on the Nifty50 index experienced significant losses during the trading session, with Mahindra & Mahindra, Eicher Motors, and Maruti Suzuki India being the top losers. Market sentiment was also impacted by developments in West Asia and concerns regarding energy supplies. India’s External Affairs Minister discussed maritime safety and energy security issues with his Iranian counterpart.
Broader markets mirrored the benchmark indices’ decline, with the Nifty Midcap 100 index falling by 0.37 percent and the Nifty Smallcap 100 index declining by 0.69 percent. The Nifty Auto index was the worst-performing sector, reflecting worries about gas supply restrictions. On the other hand, the Nifty Oil & Gas index outperformed, supported by rising global crude oil prices.
Analysts highlighted that the volatility in oil markets and global energy supply concerns continued to impact investor sentiment, resulting in widespread declines in Indian equities. Despite a slight recovery, the Rupee remained under pressure, with resistance near 92.50 against the USD and downside protection at 91.60.
