Another Fuel Price Hike Hits Share Market: Sensex Soars 300 Points, Nifty Over 23,700

Global markets found some relief after US President Donald Trump said there was a “very good chance” of reaching a nuclear agreement with Iran.

Brent crude prices declined more than 2 per cent in Asian trade following signs of possible diplomatic engagement between Washington and Tehran.

Source : ABPLIVE AI

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Key points generated by AI, verified by newsroom

• Indian equity benchmarks opened mixed, influenced by lower crude oil.
• US President Trump's comments eased Iran conflict fears for markets.
• Crude oil prices declined but remain at elevated levels.

Indian equity benchmarks experienced a mixed start to trading on Tuesday, as easing crude oil prices and optimism around potential US-Iran negotiations supported sentiment despite lingering geopolitical uncertainty.

The BSE Sensex started the session above 75,600, climbing close to 300 points, while the NSE Nifty50 opened trading over 23,700, inching up a little more than 50 points, around 9:15 AM.

GIFT Nifty Hints At Positive Bias Despite Volatility

Early indicators suggested that domestic markets could open with a positive undertone. GIFT Nifty was trading near 23,652, up 34.50 points, indicating that investors were taking comfort from softer crude prices and hopes of diplomatic progress in West Asia.

In the pre-open session around 9:02 AM, the Sensex climbed 430.42 points, or 0.57 per cent, to 75,745.46. However, the Nifty slipped 86.05 points, or 0.36 per cent, to 23,562.80, reflecting uneven early sentiment across sectors.

However, volatility is expected to remain elevated as traders continue to monitor geopolitical developments and global inflation risks.

Trump’s Iran Comments Ease Oil Market Concerns

Global markets found some relief after US President Donald Trump said there was a “very good chance” of reaching a nuclear agreement with Iran.

Trump also revealed that a planned US attack on Iran had been paused to allow negotiations to continue after Tehran reportedly submitted a fresh peace proposal to Washington. The comments helped cool fears of immediate escalation in the region.

Still, investors remain cautious after recent attacks in the Gulf region and uncertainty around the reopening of the Strait of Hormuz, a critical route for global energy supplies.

Crude Oil Falls, But Remains Elevated

Brent crude prices declined more than 2 per cent in Asian trade following signs of possible diplomatic engagement between Washington and Tehran.

Brent crude futures were trading around $109 per barrel, while US crude hovered near $107. Although prices eased from recent highs, they remain significantly above pre-war levels, continuing to raise concerns over inflation and global growth.

For India, elevated oil prices remain a major macro risk, impacting inflation, fuel costs, and corporate profitability.

Asian Markets Mixed Ahead Of Nvidia Earnings

Markets across Asia-Pacific traded on a mixed note.

Japan’s Nikkei gained around 1 per cent, supported by improved risk appetite, while South Korea’s Kospi declined nearly 2 per cent. Broader Asian indices remained subdued as investors balanced easing geopolitical fears against concerns over inflation and interest rates.

Investor attention is also shifting towards earnings from AI giant Nvidia later this week, which analysts believe could become a major test for the ongoing technology-led rally in global equities.

Bond Markets Stabilise After Sharp Selloff

Global bond markets steadied after recent heavy selling pressure.

US Treasury yields eased slightly after surging to multi-month highs in the previous session, as lower oil prices reduced immediate inflation concerns. However, markets continue to price in the possibility of prolonged higher interest rates due to energy-driven inflation risks.

OMC Stocks In Focus

Oil marketing company (OMC) stocks are expected to remain in focus after petrol and diesel prices were increased again for the second time within a week.

State-run fuel retailers raised petrol and diesel prices by around 90 paise per litre on Tuesday after ending a nearly four-year freeze on revisions.

In Delhi, petrol prices rose to Rs 98.64 per litre, while diesel increased to Rs 91.58. The hike follows a Rs 3-per-litre increase announced earlier this month amid surging global crude prices linked to the Iran conflict.

The latest revisions come as oil companies continue to face significant losses despite partial price increases.

Inflation Concerns Continue To Build

Rising fuel prices are expected to add pressure on inflation.

India’s retail inflation rose to 3.48 per cent in April 2026, while wholesale inflation surged to a 42-month high of 8.3 per cent, largely driven by higher energy costs.

Analysts believe sustained elevated crude prices could widen India’s current account deficit and keep inflationary pressures elevated in the coming months.