Indian Markets Snap 4-Day Losing Streak; Nifty FMCG Shines as ITC Jumps Over 5%

Indian benchmark indices ended Monday’s session higher, breaking a four-day losing streak after a volatile day of trade. The recovery came as crude oil prices eased from recent highs, while buying emerged in heavyweight stocks across FMCG, banking and energy.

The rebound followed a prolonged period of weakness in domestic equities, with the Nifty coming off its longest weekly losing streak in around 25 years.

Nifty Recovers After Volatile Intraday Trade

The Nifty 50 opened at 22,532.40 and moved higher in early trade, touching an intraday high of 22,621.80. However, selling pressure dragged the index to a low of 22,397.10 around midday.

Buying interest emerged near the 22,400 zone, helping the benchmark recover during the second half of the session.

At the close, the Nifty 50 gained 133.80 points, or 0.60%, to 22,555.75, while the Sensex jumped 472.77 points, or 0.66%, to 72,382.47.

The Bank Nifty also ended in positive territory but underperformed the frontline indices, gaining 0.48%.

Volatility remained elevated. The India VIX rose 2.21% to above 14.8. 

Midcap & Smallcap Indices Join the Recovery

The broader market also ended higher.

The Nifty Midcap 100 gained 0.67%, while the Nifty Smallcap 100 advanced 0.47%.

However, overall market breadth remained slightly tilted towards declining stocks.

On the NSE:

• 1,745 stocks advanced
• 1,846 stocks declined
• 115 stocks remained unchanged

Among traded stocks, 90 touched fresh 52-week highs, while 169 hit 52-week lows. Around 120 stocks hit the upper circuit limit of the day, compared with 149 stocks hitting lower circuit limit of the day.

FMCG Leads Sectoral Gains, Pharma Ends Lower

Nine of the 11 major sectoral indices ended in positive territory.

The Nifty FMCG index rose 1.8%, emerging as the top sectoral gainer and snapping its four-day losing streak. The move was supported by a sharp rise of more than 5% in ITC.

In contrast, the Nifty Pharma index declined 0.74%, with the majority of its constituents ending the session in the red.

Brent Crude Eases Towards $101 Per Barrel

Crude oil prices provided some relief to domestic markets, with Brent crude slipping towards $101 per barrel on Monday and giving up part of the previous week’s gains.

Supply expectations improved after the G7 agreed to release 100 million barrels of crude and diesel from emergency reserves. At the same time, major OPEC+ producers decided to maintain existing production quotas for the following month.

Crude exports from the Persian Gulf also exceeded pre-war levels on four of the last seven days of September despite disruptions around the Strait of Hormuz.

Geopolitical risks nevertheless remained elevated as the US-Iran conflict continued and Saudi-backed forces launched a military operation against Houthi-controlled areas in Yemen.

Rupee Remains Close to Record Lows

The Indian rupee continues to face pressure amid sustained foreign capital outflows and elevated global bond yields.

The currency has weakened nearly 7% against the US dollar in 2026, while foreign investors have sold close to $29 bn of Indian equities so far this year.

The rupee is expected to remain around ₹96.10/$ over the next three months and could weaken to around ₹96.50/$ by the end of March 2027.

The RBI has continued to intervene in the foreign exchange market. India’s foreign exchange reserves stood near $750 bn as of September 25, while the central bank’s net forward dollar liabilities reached a record $200 bn in August.

European Markets Trade Mixed

European equities were trading on a mixed note during Monday’s session.

The FTSE 100 gained 0.22% to 10,485.00, while Germany’s DAX slipped 0.13% to 25,197.92.

France’s CAC 40 declined 1% to 7,818.24, making it the weakest performer among the three major European benchmarks.

US Index Futures Point to Cautious Opening

US stock index futures were trading lower ahead of the Wall Street opening.

Dow Jones futures fell 0.16% to 51,393, while S&P 500 futures declined 0.15% to 7,765.75.

Technology-heavy Nasdaq 100 futures slipped 0.20% to 30,999.75, indicating cautious sentiment across US equities.