India Earnings Revival Under Threat as Commodity Prices Surge

NewsletterMarkets Daily IndiaIndia Earnings Revival Under Threat as Commodity Prices SurgeEven if the Middle East war ends soon, corporate profits would stay under pressure, BofA says.FacebookXLinkedInEmailLinkGiftExpandWorkers assemble a vehicle at a VinFast Auto factory in Thoothukudi, Tamil Nadu, India.Photographer: Dhiraj Singh/BloombergFacebookXLinkedInEmailLinkGiftGift this articleContact us:Provide news feedback or report an errorConfidential tip?Send a tip to our reportersSite feedback:Take our SurveyNew WindowFacebookXLinkedInEmailLinkGiftBy Ashutosh Joshi and Bhaskar DuttaMay 26, 2026 at 2:39 AM UTCBookmarkSaveLock This article is for subscribers only.Good morning... I’m Ashutosh Joshi with your daily dose of market news and analysis.Indian equities shrugged off the latest increase in local petrol and diesel prices on Monday, with the Nifty 50 posting its best session in over a month. That resilience may face a sterner test today. Oil prices have climbed, and Asian stocks have pared early gains after reports of US strikes on Iranian sites dimmed hopes for a deal to end the conflict. The economic toll from the war, and the energy shock it has unleashed, is mounting by the day. Analysts are increasingly warning of risks to corporate profits (more on that below). A weaker earnings outlook could prolong Indian equities’ underperformance against Asian peers.Meanwhile, Taiwan overtook India in stock market value, driven mainly by a rally in Taiwan Semiconductor Manufacturing Co, which accounts for more than 42% of the benchmark index.In today’s newsletter, we cover: