Indian equity benchmarks ended lower for the second consecutive session on Thursday, as crude oil prices once again breached the $100 per barrel mark amid stalled US-Iran negotiations. Sustained foreign fund outflows, along with a weak trend in Asian and European equities, also unnerved investors.

Some of the important factors in trade:

India can potentially grow over 7% in 2026-27 even if crude oil costs $90-100 per barrel: Amid geopolitical tensions, industry body Assocham has said that the Indian economy, largely driven by consumption, has the potential to grow at over 7 per cent in 2026-27 even if crude oil costs $90-100 per barrel. 

Private sector growth picks up momentum in April: According to the data report, the HSBC Flash India Manufacturing PMI surged from 53.9 in March to 55.9 in April, while HSBC Flash India Services PMI Business Activity Index rose to 57.9 in April from March’s final reading of 57.5. 

Bank credit growth likely to ease below 12% in FY27 amid West Asia conflict: Domestic ratings agency ICRA in its latest report has said India’s banking sector is likely to see a moderation in credit growth in this financial year (FY27) largely due to ongoing conflict in West Asia and changing interest rate dynamics. 

India, Japan hold first AI Strategic Dialogue to advance AI Cooperation Initiative: With an aim of advancing the India-Japan AI Cooperation Initiative, India and Japan have held discussions on strategic cooperation proposed to promote co-creation, enhance policy convergence and encourage development of solutions in industrial domains to foster a robust, innovative and trustworthy AI ecosystem. 

Global front: European markets were trading mostly in red as investors digested a slew of earnings and watched the latest developments in the Middle East war. Asian markets settled mostly lower as oil prices continued to surge amid the continued closure of the critical Strait of Hormuz. 

Finally, the BSE Sensex fell 852.49 points or 1.09% to 77,664.00 and the CNX Nifty was down by 205.05 points or 0.84% to 24,173.05.   

The BSE Sensex touched high and low of 78,178.54 and 77,574.18, respectively. There were 5 stocks advancing against 25 stocks declining on the index.  

The top gaining sectoral indices on the BSE were Healthcare up by 1.66%, Power up by 0.40%, Capital Goods up by 0.40% and Industrials up by 0.11%, while Auto down by 2.27%, Realty down by 1.91%, Consumer Disc down by 1.71%, Consumer Durables down by 1.63% and Bankex down by 1.46% were the top losing indices on BSE.

The top gainers on the Sensex were Adani Ports &SEZ up by 0.97%, Larsen & Toubro up by 0.82%, Sun Pharma up by 0.64%, Bharti Airtel up by 0.60% and Bharat Electronics up by 0.27%. On the flip side, Trent down by 4.21%, Mahindra & Mahindra down by 3.30%, Bajaj Finserv down by 2.93%, Tech Mahindra down by 2.90% and Infosys down by 2.04% were the top losers.

Meanwhile, amid geopolitical tensions, industry body Assocham has said that the Indian economy, largely driven by consumption, has the potential to grow at over 7 per cent in 2026-27 even if crude oil costs $90-100 per barrel. It noted that the growth will be supported by strong consumption, steady exports, and increasing capital investment. It said that India’s resilience to high energy costs has enhanced significantly over the years, as the country has absorbed major oil shocks while maintaining robust growth. Based on its analysis, Assocham emphasised that India has demonstrated the ability to manage elevated energy prices without compromising its economic growth trajectory.

It added that data analysed for the period from 2000-01 to 2025-26 shows India recorded some of its strongest growth years even at moderate to high crude oil price levels. For instance, in 2022-23, the economy grew by 7.6 per cent despite oil prices (Indian crude basket) averaging $93 per barrel. In 2023-24, growth remained strong at 7.2 per cent (new series), with oil prices averaging $82 per barrel. It further highlighted that even during 2011-14, when oil prices exceeded $100 per barrel, GDP growth remained in the range of 5.2-6.4 per cent. In contrast, the sharpest contraction of (-)5.78 per cent occurred in 2020-21, when oil prices were among the lowest in the past two decades (below $45 per barrel), primarily due to the COVID-19 pandemic.

Nirmal Kumar Minda, President of Assocham, said ‘India’s growth story is largely driven by consumption, which in turn strengthens the supply side through factory expansion, increased employment, and rising income levels. This creates a virtuous cycle of growth and enhances the overall resilience of the economy.’ Meanwhile, the Indian economy had grown at 6.5 per cent in the previous fiscal year. Moreover, according to the first advance estimates of GDP released by the Ministry of Statistics and Programme Implementation in January, the Indian economy is projected to grow by 7.4 per cent in the current fiscal year, maintaining its position as the world’s fastest-growing major economy despite punitive US tariffs and ongoing geopolitical tensions. 

CNX Nifty touched high and low of 24,310.20 and 24,134.80, respectively. There were 16 stocks advancing against 34 stocks declining on the index.      

The top gainers on Nifty were Dr. Reddy's Lab up by 8.87%, Cipla up by 5.72%, JIO Financial Services up by 4.19%, Adani Enterprises up by 1.78% and Caol India up by 1.52%. On the flip side, Trent down by 4.30%, Shriram Finance down by 3.31%, Tech Mahindra down by 3.12%, Bajaj Finserv down by 3.07% and Infosys down by 3.01% and were the top losers. 

European markets were trading mostly in red; Germany’s DAX lost 118.4 points or 0.49% to 24,076.50 and UK’s FTSE 100 decreased 88.79 points or 0.85% to 10,387.67, while France’s CAC rose 17.87 points or 0.22% to 8,174.30.

Asian markets settled mostly lower on Thursday as Brent crude prices surged above $100 a barrel amid the continued closure of the Strait of Hormuz. In a significant escalation of the Middle East conflict, Iran stated that it would not reopen the Strait of Hormuz as long as the US naval blockade remained in place, calling it a ‘blatant violation’ of the ceasefire between the longtime foes. Additionally, Iran seized two container ships that were trying to exit the Gulf via the Strait of Hormuz on Wednesday. Japanese shares declined as profit-taking set in before the Bank of Japan's (BoJ) upcoming policy meeting. Hong Kong shares fell as investors turned cautious ahead of the release of key March inflation data, that could offer fresh signals on price pressures and influence expectations for monetary conditions. Market attention also turned to the 14th National People’s Congress Standing Committee (NPCSC), scheduled to convene for its 22nd session from April 27 to 30, 2026, where Chinese lawmakers will focus on reviewing eight legislative bills and approving the legislature's annual work plans.