Stock market today: The domestic benchmark indices opened sharply higher on Monday, 25 May, after Brent crude prices slipped below $ 100 per barrel for the first time in over two weeks, boosting investor sentiment. The decline in oil prices came amid growing optimism over a potential agreement to end the Iran conflict, which could reopen the strategically important Strait of Hormuz.
US President Donald Trump said on Saturday that Washington and Iran had largely negotiated a framework for a peace deal that could restore shipping through the Strait, a key route that previously handled nearly one-fifth of global oil and LNG trade. Investors largely shrugged off Trump’s subsequent comments on Sunday that cautioned against expecting an immediate breakthrough.
Reflecting the improved risk appetite, Brent crude fell 5.6% to $97.8 per barrel, while broader Asian markets advanced 1.3%. Back home, the Nifty 50 climbed 0.94% to 23,941.85, while the BSE Sensex gained 1.02% to 76,194.32 as of 9:45 IST.
Key Monitorable
- The Bernt crude oil has been forming a lower top formation over past ten weeks. The lack of follow through strength above $120, amid ongoing geopolitical conflict suggest that supply risk are fully priced in. negativity is already priced-in. Hence, a decisive close below $96 would confirm change in prevailing trend and result into extended correction.
- The pair of USD/INR approached the extreme overbought reading of 84 (highest since 2002). Further, Gravestone Doji candle on the weekly chart signifies, potential trend exhaustion and an impending reversal in favor of the Rupee.
- US and India GDP data.
Stock To Buy This Week – Dharmesh Shah
Dharmesh Shah of ICICI Securities recommends buying Tata Motors Passenger Vehicles, and Bharat Heavy Electricals Ltd (BHEL).
Buy Tata Motors Passenger Vehicles in the range of ₹353-364. He has Tata Motors Passenger Vehicles share price target of ₹393 with a stop loss of ₹337.
Buy BHEL in the range of ₹400-409. He has BHEL share price target of ₹436 with a stop loss of ₹388.
Disclaimer: The Research Analyst or his relatives or I-Sec do not have actual/beneficial ownership of 1% or more securities of the subject company, at the end of 22/05/2026 or have no other financial interest and do not have any material conflict of interest.
The views and recommendations provided in this analysis are those of individual analysts or broking companies, not Mint. We strongly advise investors to consult with certified experts before making any investment decisions, as market conditions can change rapidly and individual circumstances may vary.
