Sensex, Nifty Stage Sharp Recovery, Brent Slips Below $90

Indian equity benchmarks Sensex and Nifty experienced a significant rebound around 2:30 pm, recovering from substantial intraday losses. The late-session rally brought both indices close to positive territory as investor confidence grew. Brent Crude, the global oil benchmark, fell to around USD 89 a barrel, marking its lowest level in almost a week.

This decline was attributed to a steep drop of more than 2% during the trading session. Brent's fall eased concerns over India's import bill and inflation outlook, as the country relies heavily on oil imports. Lower crude prices can reduce import costs, ease pressure on the rupee, and curb inflation, benefiting various sectors such as aviation, paints, tyres, chemicals, and logistics.

Global risk appetite improved during the afternoon, with Nasdaq-100 futures extending their advance, anticipating a positive opening for US technology shares. This positive shift in global sentiment was further bolstered by Bitcoin climbing to around USD 80,000, signaling renewed investor interest in riskier assets. Despite the recovery, US equity futures advanced as market participants focused on technology earnings and upcoming economic indicators.

Investors remained vigilant, closely monitoring geopolitical tensions, foreign fund flows, and fluctuations in global energy prices before making decisive moves.