India's Nifty logs longest losing streak in 11 months on higher crude, Treasury yields

On Wednesday, Indian shares experienced their longest losing streak in 11 months, with the Nifty 50 index falling for seven consecutive sessions. The Nifty 50 index declined by 2.1%, while the BSE Sensex dropped by 2.1% over the same period. The Nifty 50 index closed at 24,078.30, while the Sensex fell to 76,909.68. Sudeep Shah, head of technical and derivatives research at SBI Securities, noted that the risk appetite in the Indian market has weakened considerably, as evidenced by the continuous selling pressure on the Nifty index.

The primary factor contributing to the decline in investor sentiment has been the sharp surge in crude oil prices, which have reached a three-week high of around $92 a barrel. This price surge has been fueled by the ongoing geopolitical tensions in West Asia and President Donald Trump's recent remarks suggesting no talks with Iran, contradicting Iran's claim that the Strait of Hormuz remained open.

The surge in long-term borrowing costs in the US, Germany, and Japan has also weakened the appeal of emerging-market equities, as higher risk-free returns attract capital to developed-market bonds. Despite the broader trend, some sectors have managed to perform better, with the IT index rising 0.7% after a decline of 4% in the previous three sessions.

Indraprastha Gas and Mahanagar Gas saw gains of 1.7% and 1.5%, respectively, due to the government's incentives aimed at boosting domestic connections for piped cooking gas. The e-commerce logistics services firm Shiprocket, backed by Temasek, experienced a remarkable 48% increase in its debut trade.