Nifty crosses 23,800 for first time since August on crude fall, earnings boost

Markets closed higher for the fourth straight session on Tuesday, with the Nifty crossing the 23,800 mark for the first time since August 2026, as falling crude oil prices, strong corporate earnings and returning foreign investors combined to sustain the rally. The Sensex closed at 76,918, up 1,225 points or 1.62 per cent, while the Nifty settled at 23,810.85, up 370 points or 1.58 per cent.

Siddhartha Khemka, Head of Research at Motilal Oswal Financial Services, noted that “easing crude oil prices, alongside hopes of de-escalation in West Asia following progress in Iran-Qatar discussions, are supporting sentiment,” adding that the Nifty Capital Markets index surged 4.5 per cent on the day.

FMCG was the standout sector, gaining over 3 per cent, led by Marico, which jumped 10 per cent to ₹878.40 after reporting a 29.16 per cent year-on-year rise in Q2FY27 consolidated profit. ITC gained around 2.8 per cent despite reporting an 18.7 per cent year-on-year decline in Q2FY27 net profit to ₹4,168 crore, hit by higher taxes on its cigarette business. Capital market stocks surged over 4.5 per cent, with Angel One rising nearly 8 per cent, buoyed by hopes of potential tax relief for equity investors following comments by Finance Minister Nirmala Sitharaman.

BSE Ltd and Tata Consumer Products were also among the top gainers. SBI posted a 14.3 per cent year-on-year rise in Q2FY27 net profit to ₹23,038 crore, though the figure included a one-time gain of ₹7,288 crore, and operating profit fell 1.4 per cent. PSU banks and metals were the session’s major laggards.

The session’s broader significance was technical too. Sudeep Shah, Head of Technical and Derivatives Research at SBI Securities, pointed out that “the index has moved above its 100-day EMA for the first time since August 2026 and has also closed above the 61.8 per cent Fibonacci retracement level of its previous corrective phase.”

On the currency front, the rupee extended gains for a third straight session, trading around 94.70 against the dollar, supported by foreign fund inflows. Spot USD/INR is expected to trade in a 94.30–95.40 range near term, though a rebound in crude tempered the rupee’s gains. On commodities, spot gold slipped below $3,900 per ounce and silver hit a fresh one-year low of $48.50 per ounce, as crude oil rebounded following reports of a limited US strike on Qeshm Island in the Persian Gulf.

Brent rose about 2 per cent to around $106.50 a barrel and WTI climbed above $98, reviving concerns over Strait of Hormuz disruptions. Kaynat Chainwala, AVP Commodity Research at Kotak Neo, said “crude is likely to remain headline-driven and volatile,” with Brent expected to trade in a broad $100–$110 range.

Looking ahead, the outcome of the US midterm elections, due Tuesday, will be the immediate trigger. Hemant Sood, Founder and MD of Findoc Group, said “sustained foreign institutional inflows and broader participation beyond index heavyweights will be critical for the next leg of the rally.” Wednesday’s earnings slate includes Apollo Hospitals, Dabur India, Nykaa and Zydus Lifesciences, among others, which are likely to keep stock-specific activity elevated. Analysts broadly place the next resistance for the Nifty at the 23,950–24,000 zone, coinciding with the 200-day EMA.