Crude Crash Sparks Auto Rally; Profit Booking Weighs on Broader Markets - Paper by Pocketful

Jun 25, 2026

Embassy Developments (+3.24%): Shares gained after the company signed an MoU with the Government of Uttar Pradesh for a proposed ₹1,500 crore large-scale commercial development project in Lucknow, strengthening growth visibility and boosting investor sentiment.
HCL Technologies (-1.19%): Shares declined despite the company expanding its partnership with Nokia for AI-driven network automation and being selected by Nestlé as a strategic partner for a long-term AI-led efficiency transformation programme.
NLC India (-1.58%): Shares traded lower even after its subsidiary, NLC India Renewables, signed a joint venture agreement with OREDA to develop, operate, and maintain 1,000 MW of green energy projects in Odisha.
Indian Railway Finance Corporation (-0.79%): Shares extended losses after the Government exercised the oversubscription option in the OFS, increasing the total offer size to 24.3 crore shares, representing a 1.86% stake in the company.

Nifty Auto (+2.80%): The index surged on broad-based buying, led by Mahindra & Mahindra, Maruti Suzuki, and Samvardhana Motherson. Falling crude oil prices improved sentiment by raising expectations of lower input costs, stronger margins, and better demand prospects across the automobile sector.
Nifty Consumption (+0.73%): The index gained despite a mixed breadth of 16 gainers and 14 losers. Easing inflation concerns, expectations of a strong monsoon, and improving rural demand sentiment supported buying interest across consumption-focused companies.
Nifty Metal (-1.37%): The index extended its losing streak for the third straight session, led by Vedanta, NALCO, and Hindustan Zinc. Weakness in global base metal prices, a stronger US dollar, and easing geopolitical risk premiums weighed on sentiment across the metals pack.
Nifty PSE (-1.34%): The index declined as 17 constituents closed in the red, outweighing gains in 3 stocks. Profit booking in energy, power, and railway PSUs, coupled with concerns over stretched valuations and a lack of fresh triggers, weighed on investor sentiment across the sector.

Technical Level: Nifty opened on a positive note and extended its rally in the first half, facing resistance near 24,260. However, the index witnessed profit booking in the second half, slipping below its opening level and forming a Support near 24,040. Despite the late pullback, Nifty managed to close the session with marginal gains, indicating resilient buying interest at lower levels.
Advance-Decline Ratio: Market breadth remained weak, with 1,231 advances against 2,069 declines, reflecting broad-based selling across the broader market.
The Big Picture: Global technology sentiment remained upbeat after Amazon announced an additional $13 billion investment in India’s AI and cloud infrastructure, taking its total commitment to $48 billion by 2030. The move reinforced optimism around India’s growing data center ecosystem, digital economy, and long-term AI growth prospects, benefiting technology and allied sectors.
FII/DII Activity (June 24, 2026): DIIs remained net buyers at ₹3,637 crore, comfortably offsetting FII net selling of ₹1,843 crore and providing support to the broader market.

IPO Corner: CSM Technologies’ IPO closes on Monday, with investors closely watching subscription demand and listing expectations.
Market Watch: Thursday’s session highlighted a shift in market sentiment as easing crude oil prices lifted auto stocks on expectations of lower input costs and stronger demand. Meanwhile, metals and oil & gas stocks declined amid weak global commodity prices. Expiry-day volatility and profit booking weighed on broader market breadth by the close.

Drawdown

Meaning: The percentage decline in an investment or portfolio from its peak value to its lowest point before recovering.

Why it matters: Drawdown helps investors measure downside risk and understand how much capital can be lost during volatile market phases.

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