Shares of oil marketing companies (OMCs) and other oil & gas stocks advanced in Friday’s trade, rising up to 3.5 percent, as easing crude oil prices and a broader market rebound lifted sentiment across the energy space. At 10:51 am, the Sensex was up over 950 points at 75,164, while the Nifty gained 300 points or 1.3 percent to climb above 23,300. Market breadth remained strong, with 2,755 shares advancing against 848 declines.
The Nifty Oil & Gas index outperformed the broader rally, rising around 1.6 percent. The Nifty Energy index gained nearly 2 percent, reflecting strength across upstream, downstream and gas-linked companies.
OMC stocks led the gains. Hindustan Petroleum Corporation (HPCL) shares rose over 3.4 percent, emerging as the top gainer in the oil & gas pack. Indian Oil Corporation (IOC) stock gained around 2.5 percent, while Bharat Petroleum Corporation (BPCL) advanced about 1 percent, indicating buying interest across state-run refiners. Among heavyweight stocks, Reliance Industries jumped over 3.2 percent, providing a strong boost to the sectoral index.
Other oil & gas shares also traded higher. Indraprastha Gas (IGL) rose over 1.6 percent, while GAIL gained around 0.8 percent. Upstream players ONGC and Oil India saw modest gains.
The upmove in OMC stocks comes as crude oil prices cooled to around $105 per barrel, easing from recent highs near $119, after global efforts to stabilise supply routes and reduce disruptions linked to tensions in the Middle East. Lower crude prices typically support OMC margins, as they help reduce input costs, improving profitability outlook for refiners. The broader recovery in oil & gas stocks also reflects improving risk sentiment after Thursday’s sharp market sell-off.
Sectorally, the rally was broad-based, with gains also seen in metals, IT, banks and infrastructure stocks, indicating a risk-on move across the market. Volatility cooled with India VIX easing about 3 percent today, but still remains elevated due to geopolitical developments. Investors are eyeing sustained cooling in crude oil prices for support to OMC stocks.
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