Brent crude futures were at $67.44 per barrel at 0235 GMT, up 58 cents, or 0.9 percent, from the previous close.
The near-term trend got disrupted led by a global selloff in equities but analysts see this as a golden opportunity for long-term investors to buy into quality instead of looking at liquidating their positions.
The Nifty50 is likely to open with a gap on the higher side which could push the index beyond 10600 in the opening tick tracking strong global cues and firm Asian markets.
We expect the 10-year benchmark bond yield to trade between 7.55-7.65 percent in the near term but trend towards 7.80 percent in the medium term from a technical perspective, says Dhawal Dalal of Edelweiss AMC.
We expect the USD-INR pair to trade in a range of 64-64.50 for the day, says Pramit Brahmbhatt of Veracity.
Spot gold was up 0.2 percent at $1,327.97 an ounce, as of 0106 GMT. Prices touched their lowest since Jan. 11 at $1,319.96 on Tuesday.
A list of important headlines from across news agencies that could help in your trade today.
The key support level is placed at 10,318.27, followed by 10,138.33. If the index starts to move higher, key resistance levels to watch out are 10,636.17 and 10,774.13.
Australia's main index rallied 1.1 percent and Japan's Nikkei rose 2.9 percent. The latter slid 4.73 percent on Tuesday for its steepest fall in 15 months.
The Dow Jones Industrial Average rose 567.02 points, or 2.33 percent, to 24,912.77, the S&P 500 gained 46.2 points, or 1.74 percent, to 2,695.14 and the Nasdaq Composite added 148.36 points, or 2.13 percent, to 7,115.88.
European equities also continue to trade in the red. French CAC, German DAX and UK's FTSE, are all down over a percent and a half each. In an interview with CNBC-TV18, Jan Dehn, Head of Research at Ashmore Investment Management shared his readings and outlook on the same.
At the close of the day, S&P BSE Sensex recovered sharply from the lows to end at 34,195.94.
In an interview with CNBC-TV18, Jonathan Schiessl of Ashburton shared his views and reading on the volatile times that we are seeing across global markets.
The Dow Jones Industrial Average opened almost another 2 percent lower on Tuesday after two days of heavy losses that have undermined faith in the U.S. stock market's almost decade-long rally.
New York's three main indexes sank as much as 2 percent on the opening bell but they quickly moved back into positive territory.
In an interview with CNBC-TV18, Ajay Srivastava, CEO, Dimensions Corporate Finance Services, spoke about his reading of the market and his outlook.
In an interview with CNBC-TV18, Manish Singh, Chief Strategist and Head of Investments at Crossbridge Capital, spoke about his reading of the market and his outlook on the bond yields.
About four shares declined for every share rising on the BSE.
If the index manages to hold above this level after the Reserve Bank of India’s policy outcome, chances are higher of a bounce back towards 10,700 levels. The index has almost wiped out gains made in the year 2018.
Sources said that there is a possibility of indexation benefits as there are no proposals as such and even the amendments under this aspect will be out later next month.
The market recovered more than half of losses in later part of the session driven by private banking & financials.
In an interview with CNBC-TV18, Sushil Kedia, Founder of kedianomics, spoke about his reading of the market and his outlook.
Given the intensity of the fall and given that it is a global sell-off, one should not be in a hurry to enter the market, especially since most Indian investors are overbought, said Gautam Sinha Roy of Motilal Oswal MF.
There is no real gain from the grandfathering clause if stock itself crashes by a huge margin even if there are gains, which will be taxed at a later date and hence leaving investors with lower gains in hand
In an interview to CNBC-TV18, Aditya Narain, Head of Research and Nischal Maheshwari, Head-Institutional Equities at Edelweiss Securities shared their views and readings on the market and also spoke about Edelweiss India Conference that will be held in Mumbai from the 7th to the 9th of February.