18/5/26

Indian equity benchmarks ended largely flat on Monday, May 18, 2026, after an intense session marked by heavy early selling followed by a remarkable recovery led by information technology stocks. Despite global concerns over crude oil prices, geopolitical uncertainty, and rupee weakness, domestic markets displayed resilience with a strong V-shaped rebound.

Markets opened under pressure as investors reacted to elevated global risks and lingering concerns over AI-driven disruptions that had weighed on technology stocks last week.

The Nifty 50 opened over 160 points lower and slipped to an intraday low of 23,317.10 during early trade. However, buyers stepped in aggressively through the session, helping the benchmark recover over 300 points from the lows.

At the closing bell:

• Nifty 50 closed at 23,649.25, up 6.45 points (+0.03%)
• Sensex settled at 75,315.04, higher by 77.05 points (+0.10%)
• India VIX surged over 4%, reflecting heightened uncertainty and volatility

Market Breadth & Internals

The recovery in headline indices masked significant weakness beneath the surface.

Out of 3,415 traded NSE stocks:

• Advances: 941
• Declines: 2,382
• Unchanged: 92

Additional market internals:

• 55 stocks hit 52-week highs
• 69 stocks touched 52-week lows
• 58 stocks locked in Upper Circuits
• 213 stocks locked in Lower Circuits

The negative breadth highlights that broader participation remained weak despite benchmark stability.

Sector Performance

Technology stocks emerged as market saviours.

Top Performing Sector: IT (+2.43%)

The Nifty IT index rebounded sharply after last week’s selloff, with all constituents ending higher. Bargain hunting and renewed confidence in technology counters fuelled the recovery.

Worst Performing Sector: Media (-2.24%)

The Nifty Media index snapped its two-session winning streak and emerged as the weakest sector of the day.

Broader markets underperformed:

• Nifty Midcap Index: -0.15%
• Nifty Smallcap 100: -1.26%

Global Triggers Driving Markets

Global crude oil prices remained elevated amid ongoing Middle East tensions and supply concerns linked to the Iran conflict.

Brent crude climbed around 1% to near USD 110.50 per barrel, while U.S. crude advanced 1.2% to approximately USD 106.72 per barrel.

More importantly, longer-dated oil futures signalled markets expect supply stress to persist:

• September crude contracts crossed USD 100
• December crude futures touched record highs

For India — one of the world’s largest crude importers — sustained energy inflation remains a key risk.

The Indian rupee weakened sharply to a fresh lifetime low of 96.39 against the U.S. dollar, pressured by higher crude oil prices and rising global bond yields.

Stock-Specific Action

Major Movers

• Gland Pharma surged 15.43% after reporting a strong 97% jump in quarterly net profit.

• Amber Enterprises plunged 15.61% after management commentary highlighted margin pressure post-results.

• Tata Steel declined 3.29% following weaker-than-expected Q4 earnings.

• Power Grid Corporation of India fell 3.04% despite delivering nearly 10% growth in quarterly profit, indicating profit booking pressure.

Biggest Contributors to Nifty

Positive Contributors:

• Bharti Airtel: +21.83 points
• Infosys: +17.90 points
• ICICI Bank: +10.27 points

Major Drags:

• State Bank of India: -21.45 points
• Tata Steel: -12.70 points
• Power Grid Corporation of India: -9.12 points

Global Economic Calendar

• Crude oil price movements
• Iran conflict developments
• U.S. Treasury yield trends
• Currency market movements
• Global technology sector sentiment

Today’s Top Volume Gainers (NSE)

Educational purpose only. Not investment advice.

• Bharti Airtel
• Infosys
• ICICI Bank
• State Bank of India
• Tata Steel

What This Means for Investors

1. Sharp intraday recoveries often indicate underlying buying strength despite weak sentiment.
2. Broader market weakness suggests investors should remain selective rather than chase momentum.
3. Rising crude oil and rupee depreciation remain key macro risks for Indian markets.
4. Technology stocks are showing resilience again — sector rotation could remain an important trend.

Monday’s session reminded investors that markets rarely move in straight lines. Panic at the open transformed into resilience by the close — a classic reminder of why discipline often beats emotion in long-term wealth creation.

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