India VIX Falls 1.68% to 11.75 as Oil, Rupee and Global Risks Shape Session

Mumbai, 10 Sept 2026: India VIX, the volatility gauge for the Indian equity market, closed at 11.75 on Thursday, down 0.20 points or 1.68% from the previous close of 11.92. The index opened at 11.92, touched an intraday high of 11.96 and fell to a low of 11.52, as persistent geopolitical and macroeconomic risks were offset by a relatively contained domestic market move. 

India VIX Closes 1.68% Lower at 11.75 

India VIX ended the session at 11.75, compared with its previous close of 11.92, after moving within an intraday range of 11.52–11.96. The index had risen by around 6.8% to 11.92 on 9 September, making Thursday’s decline a moderation in volatility following the previous session’s increase. 

The index remains well below its 52-week high of 28.90, while its 52-week low stands at 8.72. The latest movement therefore came amid a relatively contained volatility range despite several external risks affecting Indian markets during the session. 

$100 Oil Keeps Geopolitical Risks in Focus 

Crude oil remained a key factor influencing market conditions on Thursday, with Brent crude staying above $100 a barrel amid heightened tensions surrounding the Strait of Hormuz and Middle East energy infrastructure. 

The escalation followed attacks involving shipping activity near the Strait, raising concerns about the possibility of disruption to global oil supplies. For India, sustained high crude prices remain significant because of the country’s dependence on imported oil and their potential implications for the import bill, inflation and the broader economic environment. 

Brent crude traded around the $101–102 region during the session rather than recording another sharp acceleration. This helped prevent the geopolitical developments from translating into a fresh spike in India VIX. 

Rupee Slips to 95.30 as Oil Pressure Persists 

The Indian rupee weakened by around 0.2% to 95.30 against the US dollar, reaching its weakest level in roughly 10 days. Dollar demand linked to crude imports, importer hedging, capital-flow concerns and geopolitical uncertainty contributed to the currency movement. 

The weaker rupee added another macroeconomic pressure point alongside elevated crude prices. With oil priced in dollars, currency depreciation can increase the domestic cost of imported crude and add to concerns surrounding inflation and external balances. 

The currency movement therefore remained an important part of the day’s broader market backdrop, although it did not result in a corresponding increase in India VIX by the close. 

RBI Uses $600–700 Million Swap to Support Conditions 

The Reserve Bank of India (RBI) conducted another $600–700 million dollar-rupee sell-buy foreign-exchange swap operation on Thursday, following an operation of around $1 billion on the previous day. 

The transactions pushed up forward premiums and were viewed as providing indirect support to the rupee. The RBI’s continued activity in the foreign-exchange market came as the currency faced pressure from elevated oil prices and dollar demand. 

The intervention provided a counterweight to currency-related uncertainty during the session, helping limit the risk of a sharper move in the rupee while India VIX remained below the previous day’s close. 

Asian Markets Stay Weak Amid Global Risk 

Asian equities remained under pressure during Thursday’s trading session, with markets including Japan, South Korea and Australia recording declines. Weakness across regional markets added to the cautious global backdrop for Indian equities. 

The previous US session had also been negative, as higher oil prices and rising Treasury yields weighed on American equities. The Dow Jones Industrial Average, S&P 500 and Nasdaq Composite all came under pressure. 

However, some stabilisation in US equity futures during Thursday’s Asian and Indian trading hours reduced the extent of the negative global signal. This contributed to a session in which India VIX declined rather than extending the previous day’s rise. 

US Inflation Data Adds Rate Uncertainty 

Markets were also awaiting US inflation-related data, with Producer Price Index (PPI) data scheduled for Thursday and Consumer Price Index (CPI) data due on Friday. The releases were being watched for their implications for expectations surrounding the Federal Reserve’s monetary policy. 

At the same time, US Treasury yields remained elevated, with the 10-year yield moving towards 4.86%. Higher yields, together with uncertainty over inflation and interest rates, added to the global macroeconomic backdrop affecting emerging-market assets. 

The European Central Bank’s policy decision was another event on the international calendar, adding to the range of monetary-policy developments being monitored during the session. 

FII Selling Meets DII Buying In Indian Markets 

Foreign portfolio investors (FPIs) remained a source of caution after recording net sales of around ₹583 crore on 9 September. Domestic institutional investors (DIIs), however, purchased approximately ₹1,509 crore during the same session. 

The contrasting flows provided an important feature of the domestic market environment. Foreign selling indicated continued pressure from overseas flows, while domestic institutional purchases provided a counterweight to that activity. 

The data from the previous session carried into Thursday’s market positioning, alongside the impact of crude prices, currency movements and global equity conditions. 

Nifty’s 0.86% Fall Sets Thursday’s Volatility Base 

The Nifty had closed at 23,431.50 on 9 September, down 0.86%, while the Sensex declined 1.08%. The preceding day’s equity-market weakness coincided with the 6.8% rise in India VIX to 11.92. 

Thursday’s India VIX movement therefore occurred against a higher volatility base than the preceding sessions. Despite the continuing geopolitical and macroeconomic risks, the index did not record another increase and instead finished 1.68% lower at 11.75. 

The movement indicates that the volatility gauge moderated during the session even as several external uncertainties remained unresolved. 

India VIX Remains Neutral Despite September Swings 

India VIX had a Neutral technical trend on the daily timeframe. The classic pivot point stood at 11.50, with resistance levels at 12.47, 13.01 and 13.98, while support levels were at 10.96, 9.99 and 9.45.  

Seasonality data showed that India VIX recorded positive returns in 9 of 18 years during September. The maximum positive monthly change was 34.92% in 2018, while the maximum negative change was -26.10% in 2009. The average September change stood at 3.76%. 

India VIX Eases Despite Multiple Global Risks 

Thursday’s closing movement reflected a session in which geopolitical tensions, crude oil above $100, rupee weakness, elevated US Treasury yields, global equity weakness and upcoming US inflation data remained important market factors. 

At the same time, Brent crude avoided another sharp acceleration, the RBI carried out further foreign-exchange operations, domestic institutional buying provided support against previous-session foreign selling, and US equity futures showed some stabilisation. 

India VIX consequently ended at 11.75, down 1.68%, rather than extending the previous day’s increase. The index’s intraday low of 11.52 also showed that volatility moved below the previous close during the session before recovering towards the end. 

India VIX closed at 11.75, down 1.68%, after trading between 11.52 and 11.96. Thursday’s movement came as oil remained above $100, the rupee weakened to 95.30, the RBI conducted a $600–700 million swap and global markets remained sensitive to geopolitical and inflation-related developments. 

Source 

• https://www.nseindia.com/reports-indices-historical-vix