Indian equities received support from a sharp correction in crude oil prices, with several oil-sensitive stocks witnessing buying interest on Thursday. The decline in crude oil prices below the USD 95 per barrel mark has provided relief to oil-importing economies such as India, benefiting stocks across aviation, paints, tyres, chemicals, logistics, cement, FMCG and oil marketing companies (OMCs).
The Democrats’ sweeping victory over Republicans in the US midterm elections has emerged as a positive trigger for Indian equities, with the pullback in crude oil prices adding to the relief.
Crude oil prices are on track to record one of their weakest weekly performances in recent months, having declined around 18 per cent so far this week.
As of 9:30 am, Brent crude futures were trading 0.8 per cent lower at around USD 93.95 per barrel, while its US counterpart, West Texas Intermediate (WTI), slipped over 1 per cent to USD 87.07 per barrel.
Declining crude oil prices help reduce input and transportation costs, ease inflationary pressures and improve corporate profit margins. Lower inflation could also provide central banks with greater room to cut interest rates, supporting economic growth and investor sentiment.
Several oil-linked stocks across sectors witnessed gains amid the decline in crude oil prices. Here is a look at the sector-wise performance.
Aviation
InterGlobe Aviation (IndiGo) Share Price: InterGlobe Aviation (IndiGo) rose 4.78% to Rs 5,401.60 and was among the top gainers on the BSE Sensex.
Paints
Asian Paints Share Price: Asian Paints gained 4.46% to Rs 2,526.20.
Tyres
MRF Share Price: MRF rose 2.98% to Rs 1,21,500.
JK Tyre Share Price: JK Tyre rallied 6.16% to Rs 353.35.
Chemicals and Petrochemicals
SRF Share Price: SRF added 0.78% to Rs 2,478.00.
Navin Fluorine Share Price: Navin Fluorine was up 0.20% at Rs 8,794.50.
Supreme Petrochem Share Price: Supreme Petrochem gained 2.41% to Rs 712.50.
Logistics & Transportation
Delhivery Share Price: Delhivery advanced 3.30% to Rs 431.80.
Blue Dart Express Share Price: Blue Dart Express climbed 3.16% to Rs 4,578.00.
Transport Corporation of India (TCI) Share Price: Transport Corporation of India (TCI) rose 1.08% to Rs 873.40.
Container Corporation of India (CONCOR) Share Price: Container Corporation of India (CONCOR) gained 2.05% to Rs 433.80.
Cement
UltraTech Cement Share Price: UltraTech Cement rose 3.06% to Rs 12,177.00.
Ambuja Cements Share Price: Ambuja Cements gained 3.55% to Rs 389.30.
ACC Share Price: ACC climbed 3.31% to Rs 1,224.50.
Shree Cement Share Price: Shree Cement advanced 3.16% to Rs 24,940.00.
FMCG
Hindustan Unilever Share Price: Hindustan Unilever gained 0.88% to Rs 1,994.50.
Nestle India Share Price: Nestlé India rose 0.30% to Rs 1,251.70.
Dabur India Share Price: Dabur India fell 2.30% to Rs 385.90.
Britannia Industries Share Price: Britannia Industries gained 1.00% to Rs 4,996.00.
ITC Share Price: ITC rose 0.43% to Rs 281.20.
Oil Marketing Companies (OMCs)
Indian Oil Corporation (IOC) Share Price: Indian Oil Corporation (IOC) climbed 3.03% to Rs 146.33.
Bharat Petroleum (BPCL) Share Price: Bharat Petroleum (BPCL) gained 3.61% to Rs 315.70.
Hindustan Petroleum (HPCL) Share Price: Hindustan Petroleum (HPCL) surged 6.28% to Rs 389.35.