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Falling oil prices and improving monsoon outlook bolster India's equities

Brent crude has slid from above US$95 per barrel to around US$80, which has eased imported inflation worries and supported corporate margins.

Reported · Written up by our desk · Asia

LiveMint Markets says Brent crude, which surged above US$95 per barrel amid tensions in West Asia, has retreated sharply toward US$80. The move is reducing concerns for oil-import dependent India over imported inflation and higher operating costs.

The outlet links the improved sentiment to a broader macro shift, including a decline in long-term bond yields that suggests expectations of policy stability from major central banks. It also notes that the U.S. Fed, the Bank of England and the Bank of Japan largely stayed on their expected paths, with rates unchanged.

Domestically, LiveMint Markets points to the monsoon, saying the rainfall deficit has narrowed from more than 40% earlier in the season to below 15%. It adds that a better monsoon outlook matters for rural consumption, which it describes as a key driver of India’s growth.

The piece also cites early Q1FY27 results, saying they have generally come in better than market expectations and suggest the earnings slowdown may be moderating. Combined with favorable domestic liquidity conditions, it says investors have been able to refocus on improving business fundamentals as global uncertainties ease.

Latest closeWTI crude $86.80 ▲3.8%|Brent $90.12 ▲1.2%

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