Last Updated on March 12, 2026 10:21 pm by INDIAN AWAAZ
Rupee hits record low, crude volatility shakes markets; energy stocks buck the trend while pharma and logistics face supply worries
With geopolitical tensions unresolved, crude oil remaining volatile and the rupee under pressure, analysts expect markets to remain cautious in the coming sessions. Investors are being advised to remain selective and maintain smaller positions until clearer signals emerge on global developments.
Staff Reporter / BIZ DESK
Indian equity markets extended their losing streak on Thursday as rising geopolitical tensions in West Asia unsettled global investors and pushed crude oil prices higher. The benchmark BSE Sensex dropped 829 points to close at 76,034.42, while the Nifty 50 declined 227 points to settle at 23,639 — its lowest closing level in recent sessions.
The pressure was compounded by the Indian currency sliding to a record low. The Indian Rupee weakened to 92.19 against the US dollar, marking a depreciation of about 0.17 per cent as concerns mounted over rising oil prices and global risk sentiment.
Crude Shock and Currency Pressure
Global oil markets reacted sharply to reports of attacks on energy and transport infrastructure in the region. Brent Crude briefly surged above $100 per barrel during early Asian trading before easing to around $90.63, still up nearly 3.9 per cent for the day. On domestic exchanges, crude prices rose about 4 per cent, intensifying worries about India’s oil import bill.
Market analysts said currency volatility remains closely linked to crude movements and the strength of the US dollar. With the dollar index hovering above 99, the rupee is expected to remain under pressure in the near term.
Sector-wise Market Impact
Auto Sector:
Automobile stocks bore the brunt of the sell-off for the second consecutive session, with the sector index plunging more than 3 per cent. Shares of Mahindra & Mahindra fell 4.39 per cent to ₹3,029.10, Eicher Motors dropped 3.92 per cent to ₹6,969.50, Maruti Suzuki declined 3.72 per cent to ₹12,995, and Tata Motors slipped 3.30 per cent to ₹324.30. Analysts attributed the fall to concerns that higher crude prices could push up input costs and weaken demand.
Financial Services:
Financial stocks also remained under pressure. Bajaj Finance declined 3.44 per cent to ₹862.95 as investor sentiment turned cautious amid broader market volatility. The Bank Nifty index closed 1.1 per cent lower at 55,100.
Energy and Power:
Energy stocks emerged as the only major gainers. Coal India surged 5.20 per cent to ₹470, NTPC rose 2.91 per cent to ₹390.95, and Power Grid Corporation of India gained 1.74 per cent to ₹304, supported by expectations of stable demand for power and coal amid global energy uncertainty.
Technology and Financials:
Selective buying was seen in technology and financial counters. Tech Mahindra advanced 1.49 per cent to ₹1,354.30, while Jio Financial Services rose 1.38 per cent to ₹242.
Broader Market Trends
In the broader market, the Nifty Midcap 100 slipped 0.3 per cent while the Nifty Smallcap 100 declined 0.6 per cent, though both indices outperformed the benchmark indices.
On the Bombay Stock Exchange, a total of 4,404 stocks were traded. Of these, 2,645 declined, 1,598 advanced and 378 stocks hit their 52-week lows — reflecting broad weakness across sectors.
Global Ripple Effects
Market experts say the geopolitical situation is affecting more than just equities. Disruptions in shipping and logistics could slow the movement of critical cargo. Pharmaceutical companies dependent on imported active pharmaceutical ingredients (APIs) are already facing potential logistical hurdles, which may eventually push up medicine prices.
Derivatives and Technical Outlook
In derivatives trading, analysts observed fresh short build-up in both Nifty and Bank Nifty futures contracts, indicating a bearish sentiment among traders.
Technically, analysts say the Nifty is currently hovering in the critical 23,300–23,700 support zone. A decisive break below 23,500 could trigger further downside toward the 23,000–23,200 range. On the upside, the 24,000–24,300 band is expected to act as a strong resistance.
Commodities Snapshot
In global commodities, gold prices slipped slightly to about $5,181 per ounce (roughly ₹1.53 lakh per 10 grams) as the stronger dollar weighed on the metal. Silver, however, rose 1.38 per cent to around $87 per ounce.
Outlook
With geopolitical tensions unresolved, crude oil remaining volatile and the rupee under pressure, analysts expect markets to remain cautious in the coming sessions. Investors are being advised to remain selective and maintain smaller positions until clearer signals emerge on global developments.
Disclaimer: The information provided in this report is for news and informational purposes only and should not be construed as financial or investment advice. Readers are advised to consult a qualified financial advisor before making any investment decisions, as market investments are subject to risks and fluctuations.