Equities Post Sharpest Fall in Over Two Weeks as Oil Surge Fans Risk-Off Mood

An end-of-day recap of all that transpired in the Indian markets, highlighting the major price movements and the factors driving them

India Stocks fall

By Dehuti Jani

February 19, 2026 at 11:09 AM IST

Indian equity benchmarks logged their biggest single-day losses in more than two weeks on Thursday, as escalating US-Iran tensions drove crude prices higher and rattled sentiment in the world's third-largest oil importer. The Nifty50 fell 1.41% to 25,454.35, shedding 365 points, while the BSE Sensex dropped 1.48% to 82,498.14, down 1,236.11 points, the steepest decline for both indices since 1 February, wiping out all gains accumulated over the previous three sessions.

All 30 Sensex stocks ended in the red, with IndiGo, M&M, UltraTech Cement, Trent and BEL among the top laggards, falling up to 3.2%. India VIX climbed sharply, reflecting a clear shift to risk-off positioning across the market. All 16 major sectors closed lower, with Nifty Realty, Nifty Media and Nifty Auto the worst performers, each declining around 2%, followed by Nifty FMCG and both private and PSU bank indices, all down over 1%. Broader markets were also caught in the selloff, with the Nifty MidCap 100 and SmallCap 100 falling 1.59% and 1.27%, respectively, snapping a three-day winning streak. Sentiment was further weighed down by data showing foreign portfolio investors net sold IT stocks worth ₹109.56 billion in the first half of February, even as overall inflows into Dalal Street during the same period stood at ₹297.09 billion.

Top Movers of the Day

Hindustan Unilever surged nearly 3% to around ₹2,625 after better-than-expected quarterly performance and margin resilience, with defensive FMCG names attracting buying interest.

Larsen & Toubro climbed about 2% to ₹3,990 amid continued optimism over order inflows and infrastructure spending visibility.

Titan advanced over 2% to approximately ₹3,630, extending gains on sustained momentum in jewellery demand.

Bharat Electronics rose nearly 3% to around ₹275 on expectations of fresh defence orders and strong execution pipeline.

Hindustan Aeronautics gained close to 3% to trade near ₹3,160, tracking broader strength in defence stocks.

Tata Steel slipped around 2% to about ₹154 as metal counters remained under pressure on softer global commodity cues.

Reliance Industries traded marginally lower near ₹2,820, capping benchmark gains amid mixed energy segment sentiment.

Yashhtej Industries listed at a premium of roughly 20% over its issue price and extended gains in intraday trade on healthy investor response.

Marushika Technology debuted at a discount of nearly 5% to its IPO price and remained weak through the session as investors booked profits.

BSE declined over 4% to around ₹2,450, extending losses in exchange-related counters following regulatory tightening on capital market exposure norms.

Futures & Options
Nifty February 2026 futures closed at 25,410, a premium of 44.35 points over the spot Nifty, which tumbled 365 points or 1.41% to settle at 25,454.35 in the cash market. The elevated premium reflected continued hedging activity rather than bullish conviction amid the sharp selloff. India VIX surged 10.12% to 13.46, pointing to a significant jump in near-term volatility expectations. Axis Bank, Bajaj Finance and Bharti Airtel were the most actively traded stock futures contracts in the F&O segment on the NSE. The February 2026 derivative contracts are set to expire on 24 February 2026.

Bonds
The government bond markets were shut today on account of local holiday for Chatrapati Shivaji Maharaj Jayanti.

Forex
The currency market was shut for trading today on account of local holiday for Chatrapati Shivaji Maharaj Jayanti.

Crypto
Crypto markets came under pressure on Thursday as macroeconomic uncertainty and geopolitical risks, including US-Iran tensions, dampened investor appetite across digital assets. Bitcoin pulled back 1.32% to $66,746, sitting roughly 47% below its October peak of $97,000, while Ethereum held steady at $1,967 and XRP traded around $1.42. Most major tokens mirrored Bitcoin's retreat, trading in negative territory, though analysts noted that price action across the board suggested a consolidation phase near key support levels rather than any structural weakness or meaningful trend reversal.

US Stock Futures
US stock futures slipped on Thursday as investors digested the Federal Reserve's latest meeting minutes and looked ahead to Walmart's earnings for a read on the health of the American consumer. Contracts on both the S&P 500 and the tech-heavy Nasdaq 100 reversed earlier modest gains to hover just below the flatline, while Dow Jones Industrial Average futures edged down 0.1%, following a solid advance across all three major benchmarks in the previous session.

US Treasury Notes
US Treasury yield climbed for a third consecutive session on Thursday, with the benchmark 10-year note yield pushing toward 4.10%, driven by hawkish signals from the Federal Reserve's latest meeting minutes, which indicated that some policymakers remain open to further rate hikes should inflation prove sticky. Sentiment was also shaped by robust economic data, including housing starts rising to a five-month high and strong core capital goods orders, while weak demand at a $16 billion 20-year bond auction added upward pressure on yields. Despite the recent climb, the 10-year yield remains approximately 41 basis points below its level a year ago.

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