Rising Oil Prices Drag Indian Equity Markets Down for Fourth Straight Week

The Indian equity markets faced volatility and pressure last week, extending their losing streak to four consecutive weeks due to rising crude oil prices and escalating U.S.-Iran hostilities. The Nifty ended the week at 23,897.70, gaining 0.10 per cent on Friday but still registering a weekly decline of around 1.2 per cent.

The Sensex closed the week at 76,515.43, rising 362.57 points or 0.48 per cent on Friday, despite declining around 1 per cent over the week. The rise in oil prices came despite encouraging domestic economic indicators, including a 7.8 per cent growth rate for India's economy in the first quarter of FY27.

Foreign institutional investors continued to be a source of pressure, recording net outflows of around Rs 5,600 crore during the week. However, domestic institutional investors provided strong support with net inflows of around Rs 18,560 crore, helping absorb a significant portion of the foreign selling.