Benchmarks hold firm; Europe opens higher after Saudi Arabia restarts east-west pipeline

The benchmark indices traded near the day's high in afternoon trade as crude oil prices fell below the $99-per-barrel mark, easing concerns over inflation and the country?s import bill. Investors also remained focused on global developments, including the ongoing talks between US President Donald Trump and Chinese President Xi Jinping. The Nifty, however, failed to hold above the 23,450 mark.

At 13:28 IST, the barometer index, the S&P BSE Sensex advanced 371.15 points or 0.50% to 74,900.23. The Nifty 50 index added 111.95 points or 0.48% to 23,440.95.

In the broader market, the BSE 150 MidCap Index rose 0.60% and the BSE 250 SmallCap Index jumped 0.59%.

The market breadth was positive. On the BSE, 2,695 shares rose and 1,534 shares fell. A total of 256 shares were unchanged.

Gainers & Losers:

Tata Steel (up 3.44%), Bajaj Finance (up 2.75%), JSW Steel (up 2.14%), Hindalco (up 1.89%) and Power Grid Corp (up 1.62%) were the top gainers.

Coal India (down 1.16%), Infosys (down 1.07%), Titan Company (down 0.94%), TCS (down 0.79%) and Cipla (down 0.67%) were the top losers.

Stocks in Spotlight:

Subex jumped 12.37%. The company announced that it has been selected by a major mobile network operator in the Asia Pacific region to modernise and future-proof its partner ecosystem management (PEM) operations.

Skipper advanced 2.35%. The company announced that it has secured fresh orders worth Rs 1,305 crore for several domestic and international transmission and distribution (T&D) projects.

Arvind SmartSpaces jumped 10.58%. The company said that Arvind Sylva, which is its recently launched project in Bengaluru, has recorded bookings of over Rs 500 crore within 30 days of its launch.

Global Markets:

European shares advanced while Asian stocks traded mixed on Wednesday as as softening crude oil prices - triggered by Saudi pipeline restarts and Middle East diplomatic progress - soothed corporate margin anxieties.

Energy bourses provided the primary tailwind after Reuters reported that state energy giant Saudi Arabia has restarted its 1,200-kilometer East-West pipeline following recent drone strikes, with crude shipments from the key Red Sea port of Yanbu potentially resuming.

Concurrently, Brent crude futures dropped below $100 a barrel as U.S. President Donald Trump indicated a peace agreement with Iran was close, citing lengthier meetings between U.S. and Iranian officials at the United Nations General Assembly in New York.

However, caution ahead of the US-China summit kept broader moves in equities muted. Trump and Chinese President Xi Jinping are scheduled to meet in Washington on Thursday, 24 September, with markets watching for developments on trade and artificial intelligence.

US stocks ended mixed on Tuesday, with the Nasdaq Composite closing at a record high for the second consecutive session, supported by gains in technology and artificial intelligence-related stocks. The Dow Jones Industrial Average declined 0.36%, while the S&P 500 was broadly flat at 7,764.64. The Nasdaq advanced 0.45% to 27,244.28.

Technology and AI stocks remained in focus following optimism around Meta Platforms' newly launched AI assistant, Muse. The launch has added to expectations of wider adoption of AI agents and supported gains across technology and semiconductor stocks.

US and Iranian officials also held talks on the sidelines of the United Nations General Assembly in New York. Trump said the meeting was productive, while Iranian officials reiterated conditions for reopening the Strait of Hormuz, including a reduction in US military pressure.

Oil prices extended their decline following the reports of diplomatic engagement. Brent crude fell below the $99-a-barrel mark, with markets also tracking reports that Saudi Arabia was preparing to restore operations on its East-West oil pipeline.

Reports that Iran could reopen the Strait of Hormuz if certain conditions are met also contributed to expectations of improved supply flows. The developments have eased some concerns over energy supply disruptions, although geopolitical risks remain.

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