The NSE Energy index climbed 2.14% to an intraday high of 36,914 on March 12, 2026, defying a broader market downturn. The benchmark Nifty 50 index fell 0.51%, dropping 121 points to 23,746 during the same trading session. The index was last trading at 36,843, representing a 1.95% gain.
The defensive rally across energy equities follows a sharp escalation in military conflict involving the U.S., Israel, and Iran. The geopolitical tension pushed Brent crude oil prices up by 26% earlier this week to a peak of $119.50 per barrel, the highest level recorded since 2022.
Sector Performance and Key Movers
Thirty-four of the 40 constituent stocks in the energy index traded in positive territory. Adani Total Gas recorded a 9.52% increase. NLC India and JSW Energy each advanced approximately 8%. Shares of NTPC Green also saw upward movement alongside the broader sector rotation into energy assets.
Prior to the March 12 rebound, soaring crude prices triggered panic selling across Asian markets. Major Indian state-run refiners, including IOC, HPCL, and BPCL, suffered their steepest drops in over a year due to their direct financial exposure to crude price spikes.
Geopolitical Pressures and Supply Outlook
The Indian Ministry of Coal issued a statement regarding domestic supply. The ministry reported the country holds adequate coal stocks of 210 million tonnes, sufficient for 88 days of consumption across the industry.
According to unconfirmed reports, Iran cleared Indian-flagged oil tankers to pass through the Strait of Hormuz following diplomatic talks. Reuters reported an Iranian official explicitly denied this development.
The International Energy Agency is proposing its largest-ever release of strategic oil reserves to help stabilize the market and offset potential supply shocks.