Crude Shockwave Returns: Brent Near $100, Dow Futures Slide 400 Points; Weak Global Cues Signal Nervous Start for Dalal Street
Indian markets are set for another volatile session as global risk sentiment deteriorates sharply. The biggest trigger is the sudden surge in crude oil prices amid fresh disruption fears along the Strait of Hormuz. Brent crude is now racing toward the $100 mark, triggering inflation worries and pressuring global equities. Early signals suggest a cautious-to-negative start for Dalal Street as GIFT Nifty trades in the red and Asian markets decline sharply.
On Wednesday, Indian markets witnessed heavy selling. The NSE Nifty 50 plunged 395 points or 1.63% to close at 23,866.85, while the BSE Sensex dropped 1,342 points or 1.72% to end at 76,864.
Global Commodity Radar
Energy markets remain the biggest concern for global investors.
-
WTI Crude: $93.552 â–²7.22%
-
Brent Crude: $98.600 â–²7.20%
-
Natural Gas: $3.259 â–²1.56%
-
Gasoline: $2.913 â–²4.48%
-
Heating Oil: $3.882 â–²5.55%
The spike comes after renewed attacks and tanker threats near the Strait of Hormuz, raising fears of a supply disruption in one of the world’s most critical oil transit routes. Even discussions of emergency reserve releases by the International Energy Agency have failed to calm markets.
Precious metals and industrial commodities remain mixed.
-
Gold: $5,173 â–¼0.12%
-
Silver: $85.551 â–¼0.22%
-
Copper: $5.843 (flat)
Elevated crude prices could revive inflation fears globally and pressure interest rate expectations again.
Asian Markets Under Pressure
Asian equities opened sharply lower as oil prices surged and geopolitical tensions intensified.
-
Nikkei 225: â–¼1.6%
-
Topix: â–¼1.34%
-
Kospi: â–¼0.75%
Hong Kong futures are also pointing to a weak opening.
Wall Street & Futures
US markets ended mixed overnight but futures are signaling fresh weakness.
However, sentiment deteriorated after the close.
The surge in oil prices and geopolitical uncertainty continue to dominate investor psychology.
FII–DII Activity
Institutional flows continue to reflect risk-off positioning.
-
FII selling: Rs. 6,267 crore
-
DII buying: Rs. 4,965 crore
Domestic funds are absorbing some of the selling pressure, but foreign investors remain cautious.
Currency Watch
The US Dollar Index (DXY) remains firm near 99.40, indicating persistent global demand for the dollar.
The Indian rupee weakened to 92.04 per dollar, reflecting pressure from rising crude prices and FII outflows.
Precious Metals in India
-
24K Gold: around Rs. 1,62,320 per 10 grams
-
Silver: nearly Rs. 2.69 lakh per kg
Despite a mild pullback globally, precious metals remain elevated domestically due to currency weakness and safe-haven demand.
Trade Setup for Nifty
Technically, the Nifty is entering a fragile phase.
The index has slipped below all key moving averages, reinforcing short-term bearish momentum.
Trend Structure
Momentum Indicators
-
RSI: 30.11 (near oversold zone)
-
MACD: negative territory
-
ADX: 28.85 indicating strengthening downward trend
-
Williams %R: deep oversold region
While oversold readings may trigger short covering rallies, the broader setup still favors caution.
Key Levels for Today
-
Immediate Resistance: 24,000 – 24,165
-
Next Resistance: 24,464
-
Immediate Support: 23,701
-
Next Support: 23,535
-
Major Support: 23,070
Unless the Nifty decisively reclaims the 24,000 pivot zone, the market may remain vulnerable to further downside pressure.
Traders should brace for a volatile opening session as oil prices, global cues and FII selling continue to dictate sentiment.
