Nifty Oil -; Gas stocks advance 1.5% to lift markets; ONGC, Reliance among top gainers

22 Mar 2022 , 01:05 PM

Nifty Oil and gas stocks rose amid volatile trade on Tuesday on the back of rising crude oil prices in the international markets. The Index surged 1.5% in early morning trade before trimming gains to 1%. However, the Oil & Gas stocks regained momentum in the afternoon trade to lift markets along with bullish IT stocks.

MRPL, ONGC, Reliance were the top gainers while IOC, Adani Total Gas and BPCL also drove in the fast lane. On the contrary, GSPL, Castrol India and Mahanagar Gas dragged over 1.3%. respectively.

Crude oil prices surged for the fourth day today, heading for the best run in a month, on signs that the European Union might be edging closer to a ban on Russian crude imports as part of sanctions on Moscow for its invasion of Ukraine, reported Reuters.

Crude has soared since Russia launched its assault on neighbouring country Ukraine as buyers shunned Russian cargoes, and the US and UK moved to prohibit purchases.

The surge in Oil & Gas and IT stocks meant Indices not only recovered early losses but also made significant gains to turn bullish. At around 1.05 pm, Sensex was trading at 57,533.53 up 241.04 points or 0.42% and Nifty50 at 17,182.65 up 65.05 points or 0.38%. Nifty Oil & Gas was trading at 7,663.35 up 107.50 points or 1.42%, touching a high of 7,691.20 and low of 7,592.70 during intraday trade on Tuesday.

MRPL rose 3.25% at Rs42.90 per piece while ONGC lifted the sector by gaining 3% at Rs177.65 per piece. Reliance advanced 2.2% at Rs2,521.00 per piece. IOC (up 1.65%), Adani Total Gas (up 1.47%), and BPCL (up 1.33%) were also among the top gainers in the sector on Tuesday.

Gujarat State Petronet shed 1.8% while Castrol India and Mahanagar Gas were 1.38% and 1.33% lower respectively to drag the sector.

The Index had eight advances and seven declines amid overall choppy trade on Tuesday.