Indian equities opened lower on August 18, 2026, with the BSE Sensex tumbling over 200 points and the NSE Nifty50 opening below 24,250, according to The Times of India. The decline followed a renewed surge in crude oil, with Brent moving above $90 per barrel after the U.S.–Iran ceasefire expired and prospects for reopening the Strait of Hormuz weakened. Gift Nifty traded around 24,295, down 80 points, signalling continued caution at the start of the session. In early trade, the rupee slipped 7 paise to 95.68 against the US dollar. With global equities mixed, higher oil prices and bond yields could keep pressure on risk appetite, The Times of India reported.
Market structure remains in consolidation after fifth straight loss
In the previous session on August 17, the Nifty 50 closed at 24,287.65, down 78.35 points (-0.32%), after remaining under pressure during the first half, The Times of India reported. The index recovered from its intraday low of 24,226.95, but the rebound lacked follow-through, keeping the daily structure in consolidation. RSI near 49 reflected largely neutral momentum. Realty and Metal stocks outperformed, while IT and FMCG remained weak. The Sensex declined 0.36 per cent on the same day, marking the fifth consecutive session of losses for domestic benchmarks.
Asian equities mixed as crude, inflation concerns weigh
Asian equities came under pressure in early trading as rising oil prices and renewed inflation concerns tempered the boost from strong corporate earnings. According to The Times of India, Japan's Nikkei 225 fell 1.6% to 68,098.54, while South Korea's Kospi gave up earlier gains and slipped 0.6% to 6,933.60. Hong Kong's Hang Seng declined 0.6% to 25,289.88, and the Shanghai Composite was down 0.5% at 3,963.53. Australia's S&P/ASX 200 was an exception, edging 0.2% higher to 9,088.60.
| Index | Change | Level |
|---|---|---|
| Japan's Nikkei 225 | -1.6% | 68,098.54 |
| South Korea's Kospi | -0.6% | 6,933.60 |
| Hong Kong's Hang Seng | -0.6% | 25,289.88 |
| Shanghai Composite | -0.5% | 3,963.53 |
| Australia's S&P/ASX 200 | +0.2% | 9,088.60 |
Analysts cited by The Times of India said robust earnings from Asian companies, following strong results in the US, were providing some support despite concerns over the impact of the Iran war on crude supplies and energy prices. Japan remains particularly vulnerable to higher oil prices, as it imports almost all of its crude.
Rupee under pressure; forex reserves cross $707 billion
The rupee slipped 7 paise to 95.68 against the US dollar in early trade on August 18, according to The Times of India. Earlier, the rupee had depreciated 19 paise to 95.61 amid weak domestic equities and higher crude oil prices, with forex traders also citing the delay in a U.S.-Iran deal.
India's foreign exchange reserves rose by $14.136 billion to $707.002 billion during the week ended August 7, according to data released by the Reserve Bank of India (RBI). That followed a rise of $10.512 billion in the previous reporting week ended July 31, when overall reserves stood at $692.866 billion. The latest increase took the country's forex reserves above the $707-billion mark. The reserve data came against a backdrop of movement in the rupee and foreign currency markets; during the corresponding period, the rupee was under pressure from weak domestic equities and higher crude oil prices.
| Week ended | Change | Reserves |
|---|---|---|
| August 7 | +$14.136 billion | $707.002 billion |
| July 31 | +$10.512 billion | $692.866 billion |
FII selling persists; RBI tightens swap facility timeline
Foreign institutional investors remained sellers of Indian equities, offloading shares worth Rs 2,535.10 crore on a net basis on Monday, according to exchange data cited by The Times of India. The selling came as domestic benchmark indices recorded their fifth consecutive session of losses, with the Nifty 50 falling 0.32 per cent and the Sensex declining 0.36 per cent.
Separately, the RBI said its concessional swap facility for FCNR(B) deposits had attracted USD 56.84 billion till August 13. On August 14, the RBI said the facility would be available only for deposits mobilised till August 31, compared with the earlier cut-off date of September 30. The concessional swap facility was introduced to encourage foreign currency inflows; under the FCNR(B) scheme, banks offer attractive interest rates to mobilise foreign currency deposits.
Analyst view
Market commentary pointed to elevated crude oil prices as a factor weighing on investor sentiment. Hariselvan Radhakrishnan, Founder and CEO of HST Wealth, said equities remained vulnerable to sustained increases in energy prices, while investors stayed cautious as the benchmark indices approached important technical levels, The Times of India reported.
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