Market Opening Bell 25 May 2026: Sensex gains 800 points on crude slide

Indian equities opened sharply higher on Monday, with the Sensex rising about 835 points to near 76,250 and the Nifty 50 climbing roughly 250 points to around 23,970, driven by a steep fall in crude prices and optimism over progress in US‑Iran peace talks.

Market Overview

Index	25 May 2026 Opening Level*	Move & % Change*	Comments
Sensex	approx. 76,250	approx. +835 pts (+1.1%)	Gapped up on crude slide and global risk-on cues.
Nifty 50	approx. 23,970	approx. +251 pts (+1.1%)	Reclaimed 23,950 zone, tracking strong global markets.
Nifty Midcap 100	NA	up to +1%	Participated in risk-on move, breadth positive.
Nifty Smallcap 100	NA	up to +1%	Gains in line with broader market optimism.
India VIX	17.15	-4%	Volatility cooled as crude fell and rupee firmed.

*Note: figures are approximate; final exchange data not available at time of publication.

• BSE market capitalisation rose by nearly ₹5 lakh crore to about ₹468 lakh crore.
• Advance‑decline on NSE: about 2,116 stocks advanced, 456 declined, 104 unchanged.
• Gift Nifty traded near 23,995, indicating the gap‑up start.

Key Movers

Top Gainers (large caps at open)

Stock	Sector	Notable Factor
Mahindra & Mahindra	Auto	Rose around 2% as Nifty Auto led early gains.
Bajaj Finance	NBFC	Gained about 2% on risk-on sentiment in financials.
HDFC Bank	Banking	Advanced near 2% after recent underperformance.
Larsen & Toubro	Capital goods	Benefited from rotation into domestic capex plays.
Bajaj Finserv	Financials	Tracked strength in broader financials basket.
Maruti Suzuki	Auto	Climbed about 2% with sectoral tailwind from lower oil.
UltraTech Cement	Cement	Rose about 2% in early trade.
Eicher Motors	Auto	Jumped around 5% after Q4 profit rose 12% and revenue 16%.
BPCL	Oil marketing	Rallied up to 6% on crude fall and recent fuel price hikes.
HPCL	Oil marketing	Surged alongside peers as Brent hit two‑week low.
IOCL	Oil marketing	Gained sharply on improved marketing margin outlook.

Top Losers (large caps at open)

Stock	Sector	Notable Factor
TCS	IT	Traded marginally lower despite broader market rally.
Infosys	IT	Saw mild profit‑taking; sector lagged early trade.
NTPC	Power	Edged down with minor losses at open.
Sun Pharma	Pharma	Slightly in the red in an otherwise strong market.

• Hindalco slipped about 2% after Q4 profit declined 51%.
• Oil marketing companies extended gains after petrol and diesel prices were raised ₹2.61–2.71 per litre on Monday.

Sectoral Action

Sector/Index	Direction (approx.)	Key Drivers
Nifty Auto	up over 2%	Benefited from crude below $100 and demand optimism.
Nifty Bank	up around 1%	Heavyweights like HDFC Bank, ICICI Bank supported gains.
Financials	up around 1%	NBFCs such as Bajaj Finance, Bajaj Finserv advanced.
Oil & Gas / OMCs	up 4–6%	Brent near $98 and domestic fuel price hikes aided margins.
Nifty IT	down marginally	Sector lagged amid ongoing concerns on global tech spending.

• Broader participation improved, with banking, auto and energy leading the upmove.
• Pharma traded mixed despite accumulation calls in select pharma ETFs.

Technical Outlook on Nifty, Sensex and Bank Nifty

• Nifty 50 closed Friday at 23,719.30, forming a small bullish candle on daily and weekly charts.
• Key resistance: 23,800–24,000 remains the critical breakout band.
• Immediate support: 23,600, with stronger support at 23,150–23,250.
• A decisive move above 23,850–23,900 could open upside towards 24,150, and potentially 24,500–24,650.
• Put writers are active in the 23,500–23,300 zone; call writing concentrated at 23,800–24,000.
• Put‑call ratio near 1.01 indicates balanced positioning.

• Sensex is consolidating around its 50‑day SMA near 75,400.
• Support: 75,400; below this, downside levels at 74,500–74,200, then 73,800.
• Resistance: 75,900–76,500; a break above could target 76,400–77,000.

• Bank Nifty closed Friday at 54,055.35, up 1.15%, forming a strong bullish candle.
• Range: consolidating between 54,394 and 52,783 over nine sessions.
• Immediate resistance: 54,400–54,500; further levels at 54,900 and 55,300.
• Supports: 53,600–53,500, then 52,800–53,000.

• “The 23,800–24,000 zone remains a key hurdle, and a decisive breakout above this band could trigger fresh momentum towards the 24,500–24,650 zone.” — Ajit Mishra, SVP, Research, Religare Broking.

Global Cues and Macro Drivers

Market/Asset	Movement	Notes
Brent crude	about -5% to ~$98	Fell below $100 on US‑Iran peace deal hopes, easing inflation worries.
WTI crude	about -6% to ~$91.3	Declined on expectations of Strait of Hormuz reopening.
Japan Nikkei 225	up around 2.75–3%	Hit record above 65,000 on global risk-on sentiment.
Shanghai Composite	up nearly 1%	Tracked global gains as crude retreated.
Dow Jones (prev close)	up 0.58%	Closed at record high; S&P 500 logged eighth weekly gain.
US 10‑year yield	near 4.56%, down	Pulled back from multi‑year highs, supporting equities.
US 30‑year yield	near 5.06%, down	Eased but strategists expect real yields to stay elevated.
USD/INR	rupee at 95.34, +0.37%	Hit two‑week high as crude fell and RBI signalled FX support.
Gold (spot)	up about 1.4%	Rose on weaker dollar and lower oil prices.

• US President Donald Trump said Washington and Iran had “largely negotiated” a memorandum on a peace deal to reopen the Strait of Hormuz, which handles over 20% of global oil and gas shipments.
• Iranian media pushed back on aspects of control over the waterway, but markets priced in progress.
• The RBI announced a record ₹2.87 lakh crore dividend to the government for FY26, improving fiscal headroom.
• RBI Governor Sanjay Malhotra said the central bank would do “whatever is required” to ensure orderly FX market moves and noted the rupee appears undervalued after its recent fall.

Flows and Positioning

Statistic	Value/Change	Context
FPI equity flows May 23 YTD 2026	₹2,22,343 crore net selling	Exceeds total FPI equity sales of ₹1,66,283 crore in 2025.
FPI flows 23 May session	₹4,440 crore net selling	Fourth straight day of FPI outflows per NSE provisional data.
DII flows 22 May	₹6,003.50 crore net buying	Domestic institutions offset foreign selling.
India VIX (weekly)	below 18, -5%	Cooling volatility supports positive bias near term.

• FPIs have been net sellers in 11 of 15 sessions in May so far.
• Analysts attribute sustained FPI selling to weaker earnings growth versus other markets, high US yields and rupee depreciation.
• Domestic investors and DIIs continue to provide support, cushioning large‑cap weakness.

Index Rejig and Structural Shifts

• BSE Sensex 50: TVS Motor Company will replace Adani Enterprises from 22 June 2026, as per BSE Index Services.
• BSE 100: Adani Enterprises, Ashok Leyland, One 97 Communications and CG Power and Industrial Solutions will be included; TVS Motor, Ambuja Cements, Colgate‑Palmolive (India) and Tube Investments of India will be removed.
• BSE Focused IT: L&T Technology Services will replace Cyient.

• Foreign portfolio investors have reduced aggregate holdings in Indian equities to about 14.7–15%, from around 20% a decade ago.
• The top 10 Nifty stocks now account for 21.3% of all FPI holdings, down from 40.9% four years ago.
• FPIs have expanded their India universe from roughly 900 stocks to about 1,300, increasing exposure to mid and small caps in capital goods, manufacturing, defence, healthcare and new‑age tech.

Medium‑term Outlook

• The Nifty 50 is down more than 9% in 2026 year‑to‑date, with 30 constituents eroding about ₹22.64 lakh crore in investor wealth.
• HDFC Bank has lost over 23% YTD, wiping out ₹3.55 lakh crore in market value.
• TCS has fallen more than 27%, erasing ₹3.17 lakh crore, amid concerns over AI disruption and weak discretionary tech spending.
• Reliance Industries is down about 13%, with a ₹2.85 lakh crore market‑cap decline.
• IT majors Infosys and HCL Technologies have dropped around 26–28%, with combined wealth erosion exceeding ₹2.9 lakh crore.

• Despite the correction, smallcase managers project Nifty 50 in the 28,000–30,000 range by FY27, implying 15–25% upside from current levels.
• They forecast Nifty EPS of ₹1,280–₹1,320, implying a valuation band of 22–24 times.
• “We expect NIFTY 50 to be in the range of 28,000–30,000 in FY27, a potential upside of nearly 15%–25% from current levels, supported by continued strength in sectors such as Banking, Capital Goods, Telecom, and domestic manufacturing themes.” — Ashwini Shami, smallcase Manager and President, OmniScience Capital.

• Analysts remain constructive on domestic capex and manufacturing themes, including capital goods, industrials, defence and BFSI.
• Defensive segments such as pharma and select FMCG are expected to provide stability amid elevated volatility.

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