Markets opened sharply lower on Thursday, March 12, with the Sensex slipping 822.83 points or 1.07 per cent to 76,040.88 at 9.30 am, after closing at 76,863.71 on Wednesday and opening at 76,369.65. The nifty50 fell 268.35 points or 1.12 per cent to 23,598.50, against a previous close of 23,866.85 and an opening of 23,674.85 — its weakest level since April 2025 — as surging crude oil prices, sustained foreign selling and global trade anxiety rattled investor sentiment across sectors.
Brent crude surged to $100 a barrel while US crude climbed to $95, after commercial vessels were attacked off Iran’s coast, severely disrupting tanker traffic through the Strait of Hormuz. The strait, a critical chokepoint for roughly 20 million barrels per day of global crude supply, has seen a near-halt in transit, sending energy markets into a spiral. The International Energy Agency responded with a coordinated release of up to 400 million barrels from strategic reserves across its 32 member nations — the largest such intervention on record — but analysts cautioned this offers only temporary relief.
“Only genuine military de-escalation can sustainably reduce prices,” said Devarsh Vakil, Head of Prime Research at HDFC Securities. “The Iran conflict’s potential to trigger a prolonged global energy shock is rattling markets, with Treasury yields surging alongside oil and raising concerns about overheating across market segments.”
For India, a nation heavily dependent on imported energy, the oil spike carries direct consequences for inflation and the fiscal deficit. The Indian rupee’s continued weakness against the US dollar has compounded concerns, making imports more expensive and adding to macroeconomic stress.
Sustained FII selling
Foreign Institutional Investors extended their selling streak to nine consecutive sessions on Wednesday, offloading equities worth ₹6,267 crore. Domestic Institutional Investors countered with purchases worth ₹4,965 crore — their 11th straight day of buying — but failed to arrest the broader decline.
“Even though DIIs are continuously buying, DII buying is not helping the market recover since FIIs are sustained sellers and show no signs of reversing their strategy in this uncertain global environment,” said Dr. VK Vijayakumar, Chief Investment Strategist at Geojit Investments Limited. ”For investors, markets can be very frustrating during certain times. This is one such time.”
Top gainers and losers
On the Nifty50, gainers were limited and marginal. ONGC led the pack with a 0.28 per cent rise to ₹271.50, while Tech Mahindra added 0.26 per cent to ₹1,337.90 — a rare bright spot for the IT sector. NTPC edged up 0.13 per cent to ₹380.40 as the power sector held relatively firm. Reliance Industries gained 0.11 per cent to ₹1,391.70 and Coal India rose 0.08 per cent to ₹447.10, with volumes in both stocks remaining robust.
Losers were widely spread across consumer, auto, and aviation sectors. Eternal fell the steepest, dropping 3.76 per cent to ₹215.39 on heavy volumes of over 98 lakh shares. Tata Motors Passenger Vehicles (TMPV) shed 3.01 per cent to ₹325.25, while IndiGo lost 2.91 per cent to ₹4,224.30 as elevated jet fuel costs — a direct consequence of the oil surge — weighed on aviation stocks. Mahindra & Mahindra fell 2.50 per cent to ₹3,089.10, and Bajaj Auto declined 2.34 per cent to ₹9,109.50, reflecting broad pressure on the auto sector which shed over 3 per cent in the previous session.
“With the war continuing to rage with no signs of let-up and Brent crude bouncing back to $100 levels, the weakness is likely to persist,” Dr Vijayakumar added. “Long-term investors can use market weakness to slowly accumulate high-quality bluechips across sectors.”
Globally, Wall Street closed mixed overnight, with the Dow Jones falling 289 points to 47,417. US index futures deepened losses after market hours, with Dow futures slipping a further 500 points. Asia-Pacific markets were trading lower Thursday morning as reports of additional vessel strikes in the Strait of Hormuz and Iraqi waters pushed oil prices further higher.
Adding to pressure, the United States launched a fresh trade investigation into 16 economies including India, China, Japan, and the European Union, citing “structural excess capacity” — reviving fears of renewed tariff measures.
technical analysis
“Initiating fresh long positions may be considered only after the Nifty decisively breaks and sustains above the 25,000 level,” said Hitesh Tailor, Research Analyst at Choice Equity Broking. “Focusing on fundamentally strong stocks during market corrections may be a prudent approach.”
Technically, the Nifty finds immediate support around 23,700, with stronger support at 23,600–23,500. A decisive breach could expose the 23,000 level. Resistance sits at 24,000 and 24,300. The RSI stood at approximately 30, approaching oversold territory, suggesting the possibility of a short-term technical bounce — though momentum indicators remain firmly bearish.
“The market may retest 23,700/76,300 on the downside, with further weakness possible towards 23,600-23,550/76,000-75,800,” warned Shrikant Chouhan, Head of Equity Research at Kotak Securities. “As long as the market is trading below 24,000/77,500, weak sentiment is likely to continue.”
Published on March 12, 2026