Nifty Auto Jumps 2%; Ashok Leyland, Bosch Rally as Crude Oil Prices Fall

Auto and auto-related stocks are in demand on June 12, with several stocks gaining up to 4% after crude oil prices dropped below $90 per barrel. The decline in oil prices followed reports that US President Donald Trump had called off planned military strikes on Iran, easing concerns over supply disruptions.

The Nifty Auto index rose nearly 2% during intraday trade to touch 26,322, outperforming the broader market. At around 9:30 AM, the index was up 1.8%, compared to a 1.1% gain in the Nifty 50.

Top Auto Gainers

Among the major gainers in the sector:

• Ashok Leyland surged 4%
• Bosch gained 4%
• Tube Investments of India rose 3%
• Tata Motors Passenger Vehicles advanced 2%
• Maruti Suzuki India climbed 2%
• Eicher Motors gained 2%
• TVS Motor Company rose 2%
• Hero MotoCorp added 2%

Why Are Auto Stocks Rising?

The rally was driven by a sharp fall in crude oil prices to the $85–87 per barrel range. Lower oil prices are generally positive for India as they help reduce inflation, lower the country's import bill, and improve corporate profitability.

Investor sentiment also improved after signs of easing geopolitical tensions in the Middle East. The temporary suspension of planned military action raised hopes of greater stability in global energy markets.

Auto Sector Performance

Despite Friday's gains, the Nifty Auto index has underperformed the broader market in recent months.

• Over the past 1 month, the auto index declined 3.6%, compared to a 2.7% fall in the Nifty 50.
• Over the last 4 months, the auto index fell 10%, while the benchmark index slipped 10.8%.

Read More: Best PSU Stocks for June 2026: National Aluminium, Hindustan Copper and Others Based on 1-Year Returns!

Conclusion

Auto stocks witnessed strong buying interest after falling crude oil prices and easing geopolitical tensions boosted market sentiment. 

For daily market updates and regular stock market news in Hindi, stay tuned to Angel One's share market news in Hindi. 

Disclaimer: This blog has been written exclusively for educational purposes. The securities or companies mentioned are only examples and not recommendations. This does not constitute a personal recommendation or investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.

Investments in the securities market are subject to market risks. Read all the related documents carefully before investing.