Indian Benchmarks Open Lower Amid Surging Crude and Geopolitical Tensions, Later Recovering
Investors remain cautious ahead of the US Federal Reserve's policy meeting and Q2 corporate earnings, with crude oil prices remaining a key concern.
The story
Indian equity benchmarks, Sensex and Nifty, opened lower on Monday, October 26, extending a streak of declines before paring losses later in the day. The Nifty 50 traded at 22,449.40, down 0.65%, while the BSE Sensex 30 fell 0.59% to 72,691.08 in early trade [3].
This initial weakness was primarily driven by elevated crude oil prices, escalating geopolitical tensions, and ongoing uncertainty surrounding the US Federal Reserve's policy outlook [2, 5, 8]. Brent crude prices had surged above $114 per barrel on Friday, reaching levels not seen since May, and remained around $115 per barrel on Monday [14, 20].
Selling pressure was observed across various sectors, with information technology stocks leading declines, and Infosys among the major losers [8, 14]. However, the market saw some recovery later, with the Sensex gaining over 250 points and Nifty moving above 22,650 [9].
Foreign Institutional Investors (FIIs) turned net buyers on Friday, October 23, with equity purchases of ₹887 crore, while Domestic Institutional Investors (DIIs) continued their buying streak, acquiring equities worth ₹3,236 crore [5, 10]. The rupee also weakened against the dollar, trading at 95.16 on Monday [9].
The tape
| Instrument | Last | Change |
|---|---|---|
| Nifty 50 | 22,600.75 | +0.75 |
| Sensex | 73,131.18 | +7.35 |
| USD/INR | 95.16 | +0.21 |
| India 10Y Yield | 7.4640% | -0.01% |
| India VIX | 17.41 | +3.32% |
Flows & data
| Item | Reading | Read |
|---|---|---|
| FII Net Flow (Cash Market) | +₹888 Cr (Oct 23, 2026) | Foreign Institutional Investors were net buyers. |
| DII Net Flow (Cash Market) | +₹3,235 Cr (Oct 23, 2026) | Domestic Institutional Investors extended their buying streak. |
IPOs & the primary market
India's primary market is set for a busy week, with five mainboard and four SME initial public offerings (IPOs) scheduled to open for subscription, aiming to collectively raise ₹2,768 crore [7, 11]. EAAA India Alternatives leads the mainboard offerings, targeting ₹1,200 crore, with its IPO opening from October 26-28 [7, 11, 18].
Other mainboard IPOs opening this week include SFC Environmental Technologies (₹667.53 crore, Oct 27-29), M.K. Sons Fine Jewels (₹275.40 crore, Oct 28-30), BLS Polymers (₹255 crore, Oct 27-29), and Bombay Coated & Special Steels (₹183.06 crore, Oct 29-Nov 2) [7, 11, 24].
In the SME segment, Wiscon Industries, Ajwa Projects, Carver Roboweld, and Antala Industries will also open their IPOs this week [7, 11, 18]. Additionally, two significant mainboard companies, Jio Platforms and Paras Healthcare, are scheduled to list on October 28 [7]. Jio Platforms' IPO closed with an overall subscription of 22.19 times, seeing qualified institutional buyers subscribe 70.55 times [26].
What we'll be watching
- The US Federal Reserve's policy meeting is scheduled for October 27-28.
- Q2 FY27 corporate earnings season continues, with companies like Reliance Industries, NTPC, and Tata Consumer Products reporting on Monday.
- Jio Platforms and Paras Healthcare are scheduled for listing on October 28.
- India's September industrial-production data is set for release on October 28.
- Several new IPOs, including EAAA India Alternatives and SFC Environmental Technologies, open for subscription this week.
Reporting + analyst voices: grounded via Google Search at publish time.