Markets opened positively on Thursday, buoyed by strong global trends, declining crude oil prices, and increasing optimism regarding potential diplomatic resolutions in the US-Iran conflict.
The Sensex, which closed at 75,318.39 on Wednesday, opened at 75,732.42 and was trading at 75,682.35, marking a gain of 363.96 points or 0.48% as of 9:19 AM. The Nifty 50, which ended the previous day at 23,659, opened at 23,830.05 and was quoted at 23,778.25, up by 119.25 points or 0.50%.
Crude oil prices, a significant factor for the Indian economy, experienced notable volatility. Brent crude futures for July delivery were priced at $105.79, up 0.29%, while WTI crude stood at $99.11, increasing by 0.11%. On the MCX, June crude oil futures traded at ₹9,565, up 1.08% from the previous close of ₹9,463, while July futures were at ₹9,220, an increase of 1.01% from ₹9,128.
Remarks from US President Donald Trump, indicating that negotiations with Iran were nearing the “final stages,” spurred a rebound in global equities overnight. The Dow Jones Industrial Average increased by over 600 points, while Asian markets witnessed substantial gains, with South Korea’s Kospi rallying nearly 5.8% and Japan’s Nikkei rising about 3%.
Dr. VK Vijayakumar, Chief Investment Strategist at Geojit Investments Limited, pointed out that the correction in KOSPI and TAIEX, along with foreign portfolio investor (FPI) selling in these markets, reflects concerns regarding inflated valuations in AI stocks. He noted that weakness in South Korean and Taiwanese markets could benefit India, as FPIs may shift to buying, injecting some optimism into the market.
Among Nifty 50 stocks, Grasim Industries led the gains, opening at ₹3,060.70, reaching a high of ₹3,091.90, and trading at ₹3,091.30, up 4.05% from its previous close of ₹2,971.10. IndiGo followed as a major gainer at ₹4,371.20, up 2.50% from ₹4,264.60 on volumes of 81,911 shares worth ₹3,566.56 lakhs. Defence stock BEL grew by 2.23%, trading at ₹422.50 compared to its previous close of ₹413.30. Shriram Finance rose by 1.43% to ₹936.70 from ₹923.45, while Eternal increased by 1.43%, trading at ₹246.81 against a previous close of ₹243.34.
On the downside, only two Nifty 50 stocks were in the red. ONGC fell by 0.57% to ₹296.60 from ₹298.30, with a volume of 3,05,613 shares traded. Tata Consumer Products saw a slight decrease, down 0.03% to ₹1,208.30 from ₹1,208.70.
Vijayakumar emphasized that market dynamics would largely depend on crude prices and the stability of the rupee. He noted that declining Brent crude is a positive sign, suggesting that markets might be responding to Trump’s statement about a potential end to the conflict leading to a drop in oil prices, although he cautioned about the reliability of such statements.
The Indian rupee continued to face pressure, hovering near the 96.90 mark against the US dollar, raising concerns for sectors dependent on imports. Hariprasad K, SEBI-registered Research Analyst and Founder of Livelong Wealth, remarked that a weaker currency amplifies imported inflation risks and places margin pressure on import-heavy sectors like oil marketing, paints, aviation, and other consumption-driven industries.
India VIX, the market’s volatility gauge, stood at 18.44, continuing its decline for another session. Aakash Shah, Technical Research Analyst at Choice Equity Broking, stated that a sustained move below the 18 mark is necessary for stronger bullish confidence to return.
Concerns about institutional flows persist, with foreign institutional investors continuing their net selling in recent sessions, while domestic institutional investors provided some offset by buying. Vijayakumar indicated that the adverse effects of the energy crisis would be felt in Q1 FY27, but if crude prices remain on a downward trend, the subsequent quarters might be comparatively stable.
From a technical perspective, the Nifty’s immediate support remains at 23,400, with resistance at 23,800–24,000. Shrikant Chouhan, Head of Equity Research at Kotak Securities, recommended level-based trading for day traders, given the current non-directional intraday market structure.
Published on May 21, 2026
