MUMBAI, Sept 21: Indian equity markets opened higher on Monday as investors responded to softer crude oil prices and gains across several Asian markets, although concerns surrounding elevated energy costs and global geopolitical tensions continued to influence trading sentiment.
The BSE Sensex rose more than 400 points in morning trade to around 74,722, while the Nifty 50 moved above the 23,350 level. The early gains came after Indian equities had faced a prolonged period of weakness, with both benchmark indices recording their sixth consecutive weekly decline in the previous week.
The improvement in domestic markets followed a decline in international crude prices. Brent crude fell about 2.1% to $101.69 a barrel, while US West Texas Intermediate crude declined to around $98.36. Investors were watching developments in Middle Eastern oil supplies, particularly indications that Saudi Arabian shipments could recover.
Lower crude prices are significant for India because the country relies heavily on imported oil to meet domestic energy requirements. Changes in international oil prices can influence fuel costs, inflation expectations, corporate expenses and the country’s import bill.
The decline in oil prices also provided some relief to investors concerned about the effect of expensive energy on global economic growth. However, the market remained cautious because geopolitical tensions in the Middle East continued to create uncertainty over future supplies.
Several large Indian companies contributed to the early market gains. UltraTech Cement was among the leading Sensex performers, while Asian Paints and Titan also advanced. At the same time, shares of Power Grid, Infosys and Bharti Airtel came under pressure during the opening session.
The movement in Indian equities was also influenced by trends in overseas markets. Asian stocks gained in early trading, with technology and semiconductor companies receiving support from continued demand related to artificial intelligence.
South Korea’s technology-heavy Kospi advanced, while Japan’s stock market remained closed for a holiday. Futures linked to Japanese equities nevertheless pointed to gains.
Investors were also keeping an eye on developments involving the United States and China ahead of a meeting between US President Donald Trump and Chinese President Xi Jinping. Earlier discussions between senior US and Chinese officials had helped support sentiment in Asian markets.
Global bond markets remained another area of attention. The US 10-year Treasury yield was close to the 5% level, keeping borrowing costs and monetary policy expectations in focus.
Gold prices also eased in early trading, while silver recorded a modest decline. The movement in precious metals reflected changing expectations about interest rates and the impact of geopolitical tensions on inflation.
Within India, the primary market remained particularly active. The NSE IPO was entering its final day of subscription on Monday, while several other companies were preparing to launch public offerings during the week.
The NSE issue, which carries a price band of ₹1,700 to ₹1,785 per share, has an overall size of around ₹22,569 crore. It is an offer for sale by existing shareholders, meaning the exchange itself will not receive the funds raised through the transaction.
The busy IPO calendar comes alongside a series of scheduled listings. Manika Plastech was due to begin trading on September 21, while other companies, including SS Retail, Hero Motors and Jindal Supreme India, are expected to debut later in the week.
Market participants are assessing whether the improvement in equities can continue after the recent period of weakness. The direction of crude oil prices, developments in the Middle East, US interest rates and global trade relations remain among the factors likely to influence investor sentiment.
The rupee and foreign investment flows are also being monitored closely. Foreign portfolio investors had withdrawn nearly ₹20,974 crore from Indian equities during September through the latest available data, reflecting caution toward emerging-market assets amid higher global yields, elevated crude prices and currency pressures.
Despite these challenges, domestic institutional participation and continued corporate fundraising have provided important areas of activity within Indian capital markets.
The September 21 opening therefore reflected a combination of short-term relief from falling oil prices and continued uncertainty over global economic conditions. Investors are likely to track international commodity markets and geopolitical developments closely as the trading week progresses.