Nifty Oil -; Gas index resist bearish markets and trade higher; GAIL, ONGC lift the performance

19 Jan 2022 , 12:10 PM

Nifty Oil & Gas defied bearish markets to trade higher on Wednesday. GAIL, ONGC, Gujarat Gas Limited, and Gujarat Gas Petronet led the gains while Indraprastha Gas and Adani Total Gas were under pressure.

Oil prices rose for a fourth day and have reached to a seven-year high as an outage on a pipeline from Iraq to Turkey increased concerns about an already tight supply outlook amid worrisome geopolitical troubles in Russia and the United Arab Emirates.

Indian equity benchmarks Sensex and Nifty50 gave up initial gains in a choppy session today, amid weakness across most global markets. Globally markets took a beating as a surge in crude oil prices stoked inflation worries and sent US bond yields higher, adding to fears of earlier-than-expected Fed rate hikes. A fresh round of FPI selling also weighed on the sentiment.

At around 12.10 pm, BSE Sensex was trading at 60,220.92 down 533.94 points or 0.88% and Nifty50 at 17,969.05 down 144.00 points or 0.8%.

Nifty Oil & Gas Index was trading at 7,910.85 up 25.35 points or 0.32%, after touching a high of 7,965.35 and low of 7,872.50 during intraday trade.

GAIL rose nearly 3% at Rs147.10 per piece to boost the sector. ONGC surged 2.62% at Rs168.15 per piece to outperform. Gujarat Gas Limited and Gujarat Gas Petronet were also 2.4% and 2.2% higher to lif the performance of the sector.

Indraprastha Gas sank nearly 3% at Rs440.00 per piece to emerge the top laggard. Shares of Indraprastha Gas (IGL) hit a fresh 52-week low at Rs 438.30 in Wednesday’s intraday trade amid concerns of aggressive influx of electric vehicles (EVs) into Delhi.

Adani Total Gas dragged 1.4% at Rs1,790.00 per piece.