Indian equities closed sharply higher on Monday, recovering a portion of the steep losses from a three-session slide that had driven benchmarks to near one-year lows in the previous session. The rebound came as markets reassessed the scale of the risk that the war in Iran poses to global energy supplies.
The mood improved after two tankers carrying liquefied petroleum gas for India crossed the Strait of Hormuz over the weekend, indicating some leniency from Tehran toward non‑Western vessels delivering energy cargoes to Asian buyers. This development eased fears of fuel shortages in India—one of the world’s largest energy importers—particularly for gas used in factory operations and household cooking.
As supply concerns and related inflation risks receded, credit‑sensitive stocks led the rally. HDFC Bank, Bajaj Finance, and Bajaj Finserv advanced between 1.7% and 3%. Energy‑intensive manufacturers also gained, with UltraTech Cement and Mahindra & Mahindra climbing more than 3%.
