Equities, Rupee Weaken as Crude Nears $90; Bond Yields Rise

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

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By Tresha Dias

August 11, 2026 at 1:02 PM IST

Indian equities ended down on Tuesday as a sharp rise in crude oil prices and renewed uncertainty over a potential US-Iran peace deal weighed on investor sentiment. The Sensex fell 388.19 points, or 0.49%, to 78,154.25, while the Nifty50 declined 112.10 points, or 0.46%, to 24,471.70, closing below the 24,500 mark.

Brent crude oil climbed 2.44% to $89.86 a barrel after negotiations between Washington and Tehran over a possible peace deal and reopening of the Strait of Hormuz reached an impasse. The rise in oil prices renewed concerns over India's import bill, inflation and corporate margins, while weak global cues added to the pressure on domestic equities.

The sell-off was concentrated in select large-cap stocks, with Mahindra & Mahindra, Bharti Airtel and Axis Bank among the biggest Nifty drags. FMCG and metal stocks declined, while pharma and healthcare shares gained. The broader market was more resilient, with the BSE MidCap index flat and the SmallCap index rising 0.24%.

The Indian rupee slipped 0.15% to 95.4350 per dollar today, its weakest level in nearly two weeks, as higher oil prices weighed on the currency following the impasse between the US and Iran. The yield on the 10-year government bond benchmark 6.94%, 2036 ended at 6.7791%, compared with the previous close of 6.7643%. The state government securities auction, however, saw firm demand across maturities.

Top Movers of the day

Chennai Petroleum Corporation rose 14.35% to ₹1,418 as concerns over possible supply disruptions and renewed buying lifted refinery stocks and improved sentiment toward refinery companies. The company’s return to profitability in Q1 FY27 and the recommended ₹54 final dividend and heavy trading volume added to investor interest.

Finolex Cables gained 14.64% to ₹1,213 due to healthy demand for cables and electrical products, encouraging fresh buying in the stock.

Mangalore Refinery and Petrochemicals rose 10.82% to ₹180.60 as higher crude prices and renewed buying in refinery stocks supported the sector.

Amara Raja Energy & Mobility gained 7.69% to ₹966.70 due to sustained demand for batteries and energy-storage products, while investor interest in the company’s new-energy business also supported the move.

PB Fintech advanced 6.37% to ₹1,733.80 as investors continued to respond positively to its Q1 FY27 results. Investor interest was supported by higher insurance premiums, stronger operating revenue and improved margins. The results strengthened confidence that the Policybazaar parent is converting business growth into higher profitability.

Info Edge gained 5.98% to ₹1,358.60 after investors responded positively to its Q1 FY27 business performance. Recruitment billings rose 17.5% year-on-year to ₹552.7 crore, while 99acres billings increased 16.6%. The company’s results and continued strength in its recruitment and real-estate businesses supported the rally.

Sonata Software settled at ₹333.50, gaining 4.19%, with traders leaning into the mid-cap IT recovery narrative. Investors became more positive on US digital and cloud spending. Sonata’s lower valuation compared with larger IT firms made it an attractive option, while the steady rise in its shares suggested measured buying rather than speculative activity.

Ather Energy finished at ₹1,526, gaining 4.08%, The EV sector remained strong on expectations of continued government support and improving electric two-wheeler sales. Lower battery and component costs, along with rising urban demand, encouraged investors to increase buying through the day.

Dr Reddy’s Laboratories settled at ₹1,205.80, up 4.06%, with large-cap pharma reclaiming its defensive halo in a choppy session.Fresh US FDA approvals and a stronger generic drug pipeline improved the outlook for its North American business. The stock also gained as investors shifted towards healthcare stocks, with foreign investors increasing their exposure to Indian pharma.

Tata Consumer Products shares fell 2.85% to ₹1,077.10 as investors booked profits amid weakness across FMCG stocks, following recent gains.

Max Healthcare shares fell 2.77% to ₹1,039.40 after a parliamentary panel recommended a three-star-equivalent cap on hospital room rents, raising concerns over its potential impact on hospital operators’ revenue.

Futures & Options
The Nifty August 2026 futures settled at 24,525.10, a premium of 54 points to the Nifty 50 cash close of 24,471.70, which fell 112.10 points, or 0.46%. The NSE India VIX tumbled 3.73% to 11.79, signalling lower near-term volatility.

LIC, Infosys and MCX were the most actively traded individual stock futures contracts on the NSE. The August 2026 F&O series expires on August 25, 2026.

Bonds
The yield on the 10-year benchmark 6.94%, 2036 government bond ended at 6.7791%, compared with the previous close of 6.7643%. The state government securities auction, however, was seen attracting firm demand across maturities. Public sector banks were seen selling government securities after buying in previous sessions when the 10-year bond yield was around 6.76-6.77%. This added pressure on the gilt market as crude oil prices remained elevated at around $90 a barrel. The market's focus remained on the 153-billion-rupee state government securities auction.

Forex
The Indian rupee slipped 0.15% to 95.4350 per dollar today, its weakest level in nearly two weeks, as higher oil prices weighed on the currency as hopes of a US-Iran deal to end the war and reopen the Strait of Hormuz faded. Dollar-selling intervention by the Reserve Bank of India helped limit the rupee's losses, traders said.

The RBI's sustained intervention has also helped lower expectations of sharp moves in the currency, with one-month dollar-rupee implied volatility falling to 4.6%, its lowest since late June. Markets will also focus on consumer inflation data from India and the United States due on Wednesday, alongside developments in West Asia.

Crypto
The cryptocurrency market traded lower today, with Bitcoin and Ethereum declining as selling pressure weighed on major digital assets.

Bitcoin traded near $63,921.54 today, down 1.59% over the past 24 hours, with a market capitalisation of $1.28 trillion and 24-hour trading volume of $21.74 billion. The cryptocurrency slipped below the $64,000 mark as investors remained cautious following recent gains.

Ethereum traded near $1,871.87 today, down 2.28% over the past 24 hours, with a market capitalisation of $225.9 billion and 24-hour trading volume of $7.93 billion. The second-largest cryptocurrency underperformed Bitcoin and moved back below the $1,900 level.

US Stock Futures
US stock futures were mixed as investors weighed possible progress towards reopening the Strait of Hormuz against Tehran's rejection of renewed direct negotiations with Washington. S&P 500 futures were flat, while Nasdaq-100 futures rose 0.12% and Dow futures slipped 0.1%.

Iran said it was closing in on a deal with Oman to reopen the Strait of Hormuz, but Tehran continued to resist direct negotiations with the United States until several conditions were met. Iranian Foreign Minister Abbas Araghchi said there was no possibility of restarting negotiations.

US Treasury Notes
US Treasury note yields rose today, with the benchmark 10-year yield moving above 4.7% and closer to its highest level since January, as surging oil prices strengthened expectations of a Federal Reserve rate hike. The move came amid continued uncertainty over US-Iran negotiations to end the war and reopen the Strait of Hormuz, while markets priced in around a 51% probability of a 25-basis-point rate hike in September, up from 44% a day earlier.

Investors also awaited key US inflation data due this week for further clues on the Federal Reserve's policy outlook. Diplomatic tensions remained elevated after Iran sought financial compensation for damages from the conflict, while President Donald Trump directed US representatives to seek compensation from Tehran in any future negotiations.

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