India Stocks: Indian shares advance after oil slips to pre-Iran war levels

Life Insurance of India

25/06/2026 05:30

Updates for morning trade
By Bharath Rajeswaran

    June 25 (Reuters) - Indian shares rose on Thursday, tracking gains in most of Asia after crude oil prices fell to pre-Iran war levels as tankers exited the Strait of Hormuz following an initial peace deal between the U.S. and Iran.
The benchmark Nifty 50 .NSEI rose 0.64% to 24,175.60, while the BSE Sensex .BSESN added 0.69% to 77,518.72, as of 9:53 a.m. IST.   
Brent crude LCOc1 fell 1.7% to $72.5 a barrel, easing concerns about the outlook for growth and inflation in the world's No. 3 oil importer. O/R
Asian markets .MIAPJ0000PUS rose 1.4%. MKTS/GLOB
The Nifty 50 and Sensex .BSESN indexes have both gained about 4% in the last nine sessions since the U.S.-Iran peace deal. They still continue to lag all major global peers year-to-date.
"The phase of underperformance of Indian equities is likely ending," said Vinod Karki and Bhavesh Talreja, analysts at ICICI Securities.

    "Oil prices and the Nifty are inversely correlated above $90 a barrel, and the current slump is a potential positive for Indian equities as a lower import bill should improve the external position," they said.
  

    RBI Governor Sanjay Malhotra's 
    comments
     ruling out a near-term rate hike also lifted sentiment, as lower borrowing costs could bolster earnings, consumption and valuations.
  

    Twelve of the 16 major sectors logged gains. The broader small-caps .NIFSMCP100 and mid-caps .NIFMDCP100 edged up 0.1% and 0.3%, respectively.
  

    Financials .NIFTYFIN rose 0.75%, while banks .NSEBANK, private lenders .NIFPVTBNK and state-owned banks .NIFTYPSU added 0.6% each, extending gains after the central bank 
    allowed
     loans against foreign-currency deposits.    
  

    The auto index .NIFTYAUTO gained 2.1%, after losing 1.2% in the last two sessions.
  

    Bucking the trend, Life Insurance Corporation of India LIFI.NS fell 2.5%, after 
    announcing
     the resignation of its chief financial officer Sunil Agrawal, ahead of the end of his term in March 2027.
  

        Rajesh Exports REXP.NS fell 5% after India's financial crime agency found suspected forex breaches, missing foreign transaction records and other discrepancies during searches of the company's facilities.

 (Reporting by Bharath Rajeswaran in Bengaluru; Editing by Subhranshu Sahu and Ronojoy Mazumdar)
 ((bharath.rajeswaran@thomsonreuters.com; +91 9769003463;))