India's Reliance shares drop amid US-Venezuela tensions
The share price of India's Reliance Industries plunged 5% in morning trading on Tuesday, extending a decline from the previous day.
The stock opened at ₹1,575.55 on the BSE, down from Monday’s close of ₹1,577.45, and hit an intraday low of ₹1,497.05, a drop of 5.1%, News.Az reports, citing Mint.
India’s largest company by market capitalization has faced pressure following the U.S. raid on Venezuela over the weekend, which resulted in the capture of President Nicolas Maduro and his wife. Venezuela is reported to hold the world’s largest known oil reserves.
Investors are concerned that any escalation in the U.S.-Venezuela conflict could trigger volatility in crude oil prices, potentially putting pressure on the profit margins of oil refiners like Reliance.
Meanwhile, Reliance on Tuesday refuted reports that three vessels laden with Russian oil are on their way to its Jamnagar refinery.
The company in a post on social media platform X called the report “blatantly untrue”. It added that the refinery has not received any Russian oil cargo in the past three weeks, nor is it expecting any Russian crude oil deliveries in January.
Reliance shares strongly outperformed the Sensex in 2025, jumping over 29% in 2025 compared to a 9% rise in the Sensex. The blue-chip stock hit an all-time high of ₹1,611.20 in the previous session on January 5 before facing selling pressure.
Experts say the US-Venezuela conflict is a short-term sentimental headwind for Reliance shares, as the company is diverse and has major growth drivers in terms of Jio and Retail, which remain insulated from crude volatility.
Moreover, if crude oil prices rise due to the Venezuela factor, it could be even positive for the company.
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