Shares of Oil marketing companies and paint stocks like Berger Paints, IndiGo, and Asian Paints have seen a sharp correction as Crude spikes to fresh 2026 highs as a result of tension across West Asia. Apart from these, several other sectors like tyres and oil explorer companies have also seen sharp price action.  

OMCs and explorers

Among the oil marketing companies, HPCL, IOCL, and BPCL are key stocks seeing big price action. The sector will be impacted because they buy crude oil, and higher prices will eat up margins, pressuring profitability. 

On the other hand, stocks like ONGC, Vedanta, Oil India, and others will see a positive impact as higher crude prices will lead to higher realisations and profitability.

Paint, Tyre, and Aviation stocks

Paint and tyres are derivatives of crude oil. So, if the crude oil prices increase, the cost of raw material for the paint and tyre sectors will rise, which will impact margins. JK Tyre, Apollo Tyres, and MRF are a few tyre stocks. 

Aviation companies will also see a rise in fuel cost, which is one of the biggest cost for a carrier. The rise in crude oil will lead to a decline in profitability, impacting the sector in a negative way. IndiGo and SpiceJet are the two listed Indian airlines.

Rise in crude oil prices

Markets are assessing disruption risks in the Strait of Hormuz, which carries roughly 20% of global oil flows, as shippers reroute cargoes. Oil markets are more geopolitically elastic than natural gas markets. On Monday, WTI crude futures surged 10% to above $75 per barrel, which was the highest level in eight months after joint strikes by the United States and Israel on Iran intensified Middle East tensions. 

However, the oil prices pared gains to trade over 8% higher.

Meanwhile, OPEC+ agreed to increase April output by 206,000 barrels per day, less than 0.2% of global demand.

“The near-term impact will be negative. Crude has spiked, and if the crude price remains high for an extended period of time, our balance of trade and balance of payments will be impacted since we import around 85% of our oil requirements,” said V K Vijayakumar, Chief Investment Strategist at Geojit Investments.

The US-Israel and Iran War

 The US and Israel launched strikes on Iran over the weekend, leading to a large military conflict in West Asia. In the strikes, Iran’s supreme leader, Ayatollah Ali Khamenei, was killed.

Also, three ships were attacked in the Strait of Hormuz. The US military struck a ship at a port on the Gulf of Oman. This incident raised the prices of crude oil.