Hindustan Petroleum fell 2.43%, while Bharat Petroleum declined 1.80% and Indian Oil Corporation dropped 0.81%.

In the commodities market, Brent crude for November 2026 delivery surged amid escalating geopolitical tensions in West Asia, pushing prices above the $107-per-barrel mark.

The rise in crude prices also weighed on broader market sentiment, with the Nifty 50 trading 0.79% lower at 23,292.80.

Higher crude prices can pressure PSU oil retailers as domestic LPG and kerosene are sold at regulated prices. A sharp rise in global oil prices can increase under-recoveries on such sales, potentially weighing on profitability.