Benchmarks Resume Slide as West Asia War Intensifies and Oil Surges Anew

An end-of-day recap of all that transpired in the Indian markets, highlighting the major price movements and the factors driving them

By Dehuti Jani

March 11, 2026 at 11:41 AM IST

Indian equity benchmarks resumed their declining streak on Wednesday after a brief one-day respite, as the escalating West Asia war and choppy oil prices renewed fears over their potential impact on inflation and growth. The Nifty50 fell 1.63% or 394.75 points to 23,866.85, while the BSE Sensex dropped 1.72% or 1,342.27 points to 76,863.71, as three ships were hit by projectiles near Iran's coast, one catching fire and forcing crew evacuation that kept supply through the crucial Strait of Hormuz chokepoint at a near standstill. Brent crude surged as much as 5.8% to $92.96 per barrel on the Intercontinental Exchange before easing to trade 3.87% higher at $91.12. Heavyweights HDFC Bank and ICICI Bank dropped 1.8% and 1.3% respectively, while Reliance Industries fell 1.3% after briefly gaining as much as 1.8% in early trade following US President Trump's announcement of plans to construct a refinery backed by the Indian conglomerate. Bajaj Finance, Axis Bank, Bajaj Finserv, Mahindra & Mahindra, Kotak Mahindra Bank and Maruti Suzuki were among the top Sensex losers, falling between 3% and 5%, while Sun Pharma and NTPC were the only gainers.

Twelve of the 16 major sectors declined, with Nifty Auto the worst performer, shedding over 3%, followed by Nifty Financial Services and Nifty Private Bank. Broader markets also ended lower, with the Nifty MidCap 100 declining 1.25% and the Nifty SmallCap 100 slipping 0.36%. On the positive side, Nifty Pharma was the top-gaining sectoral index, with Nifty Oil and Gas and Nifty Healthcare also ending in the green, as investors rotated into defensives and energy-linked names amid the broader risk-off mood.

Top Movers of the Day

Adani Total Gas zoomed 18% to ₹560.70 on the BSE amid heavy volumes, bucking the broader market weakness though no specific corporate trigger was immediately identified.

IndiGo initially climbed almost 3% after CEO Pieter Elbers stepped down, with Managing Director Rahul Bhatia set to oversee operations until a replacement is found, before closing down 0.69% as elevated crude oil prices weighed on aviation stocks.

Reliance Industries declined nearly 1.5% to around ₹1,386, dragging benchmark indices lower, despite analysts viewing its proposed refinery in Brownsville, Texas positively as it could give the company access to US crude and potentially Venezuelan oil over time.

Indian Oil Corp edged up 0.4% to around ₹160, showing resilience despite rising crude prices weighing on oil marketing companies' margin outlook.

Coal India gained close to 1% to trade around ₹446.90, supported by strong e-auction realisations and steady demand.

Air conditioner stocks rallied up to 6%, led by Blue Star and PG Electroplast, amid reports of above-normal heatwave days expected between March and May.

Samvardhana Motherson International was in focus after entering a share purchase agreement to acquire a 100% stake in Yutaka Autoparts India to complete its acquisition of Yutaka Giken.

Plastic piping, steel pipes and water EPC companies rallied up to 20% on the BSE after the Union Cabinet approved the extension of Jal Jeevan Mission 2.0 until 2028 with a total outlay of ₹8.69 trillion, focusing on building infrastructure and ensuring continuous water supply.

Waaree Renewable Technologies rose nearly 7% after signing an EPC contract for a ground-mounted solar PV plant of 300 MWac/420 MWp capacity.

Sedemac Mechatronics made a solid market debut on 11 March 2026, listing at a 14% premium and beating grey market estimates following an IPO that raised ₹10.87 billion.

Happiest Minds Technologies extended its rally into a second straight session, surging 11% to an intraday high of ₹446.35 on continued buying interest following the company's upward revision of its FY27 growth guidance.

DLF declined roughly 2% to around ₹573.70, reflecting profit-booking in real estate stocks.

Futures & Options
Nifty March 2026 futures closed at 23,918, a premium of 51.15 points over the spot Nifty, which tumbled 394.75 points or 1.63% to settle at 23,866.85 in the cash market. The narrow premium reflected deeply cautious sentiment, with traders reluctant to build meaningful long positions amid the rapidly evolving West Asia situation. India VIX surged 11.41% to 21.06, reversing the sharp decline of the previous session and signalling a renewed spike in near-term volatility expectations as fresh shipping attacks in the region rattled investor confidence. Reliance Industries, HDFC Bank and Dixon Technologies were the most actively traded stock futures contracts in the F&O segment on the NSE. The March 2026 derivative contracts are set to expire on 30 March 2026.

Bonds
Indian government bond yields eased on Wednesday, with the benchmark 6.48% 2035 bond yield declining 3 basis points to 6.6366% from 6.6737% at Tuesday's close, as global oil prices retreated from multi-year highs and investors awaited details of the RBI's upcoming bond purchases on Friday. Brent crude held below $90 per barrel after reports that the International Energy Agency had proposed the largest release of oil reserves in its history to offset supply disruptions stemming from the US-Israeli war with Iran, offering a measure of relief to bond markets that had been rattled by the recent energy price surge.

Forex
The Indian rupee slipped on Wednesday, closing down 0.2% at 92.04 per dollar, as volatile oil prices and a slump in local stocks weighed on sentiment, though intermittent dollar sales by state-run banks helped cushion the currency's losses. The turbulence in global markets has rippled through Indian corporates' foreign exchange hedges, prompting importers to step up currency protections while exporters contend with mark-to-market losses on positions taken last month.

Crypto
Crypto markets pulled back on Wednesday as investors adopted a cautious stance ahead of the US CPI data release, with February inflation expected to come in at 0.3% month on month. Bitcoin slipped over 2% from an intraday high of $71,612 on Tuesday to $69,936, trading sideways through much of the session as markets awaited the inflation print for fresh direction on Federal Reserve policy. Ethereum drew increased attention from traders and analysts, stabilising near $2,020 after a difficult start to the year that saw it drop from above $3,000 in January to a low of $1,820 in February, with market participants noting the altcoin's growing resilience relative to recent months.

US Stock Futures
US stock futures gave up earlier gains on Wednesday as investors kept a close eye on fresh attacks on shipping in the West Asia war and braced for the latest inflation report, which is expected to help shape expectations for the economy and Federal Reserve policy. S&P 500 futures slipped 0.1% and Nasdaq 100 futures fell 0.2%, reversing overnight advances, while Dow Jones Industrial Average futures also declined 0.2%, following a volatile Tuesday session that saw stocks close little changed.

US Treasury Notes
Yields on US Treasury edged higher on Wednesday as investors cautiously positioned themselves ahead of the February CPI report, a closely watched inflation reading that markets view as pivotal for the Federal Reserve's near-term policy direction. The benchmark 10-year note yield rose roughly 2.7 basis points to 4.16%, while the 30-year bond climbed to approximately 4.80% and the interest-rate-sensitive 2-year note edged up to 3.59%. Economists anticipated headline CPI to show a 2.4% annual increase, with traders treating the figure as a make-or-break data point for bets on whether the Fed holds rates at next week's meeting or signals cuts later in the year.

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