Sensex slipped by 275 points, and Nifty went below the critical 26,100 levels.
Technology and financial stocks were the biggest losers, while metals and defence stocks were the biggest gainers.
FIIs sold stocks as the rupee fell and gold prices surged to record highs.
The Indian stock market saw sell pressure on December 26, with key indices trading lower at press time. The stock market today faced challenges, particularly led by the decline of finance and IT stocks. At the time of writing, the Sensex stood at 85,133.19, down 275.51 points or 0.32%. Nifty also fell 80.60 points, or 0.31%, to 26,061.50. Bank Nifty continued to face challenges, trading at 59,041.85, down 141.75 points.
Although benchmark indices weakened, overall markets remained resilient. Mid-cap and small-cap markets were trading slightly higher. Market breadth was somewhat positive throughout the day. Here’s how individual stocks performed based on Moneycontrol Live Updates.
Sectoral trends continued to remain mixed today. The sector that got maximum pressure was the IT sector. Nifty IT declined by 0.79%. Auto and Pharma also affected the markets. However, the metal and energy sector managed to remain in the green.
PSU banks and FMCG stocks fell amid overall sell-offs in defensive and sensitive stocks. Nifty India Defence was the top sector-specific index, rising 1% amid geopolitical concerns.
Titan share price made a strong debut in the top Nifty gainers list, rising 1.37% to Rs. 3,962.80. The leading jeweller has announced the opening of its maiden retail store for lab-grown diamond jewels branded 'beYon' in Mumbai.
Adani Group shares had a mixed trading day. Adani Enters rose by 0.68%, and Adani Ports remained flat. Since the crisis triggered by the 2023 Hindenburg report, Adani Group has concluded business worth Rs. 80,000 crores in its efforts to win back investors' trust. Adani Ports finalized its acquisition of Abbot Point Port Holdings from its promoter group.
Reliance Industries was slightly higher at Rs. 1,558.50, up 0.02%, as crude oil prices rose globally. At the same time, Bharat Electronics surged by 1.29% for its fifth successive day of winning.
On the other hand, stocks such as Shriram Finance, Tata Steel, and Sun Pharma led the way down, losing around 1%. Both IT major companies, namely Tech Mahindra and TCS, continued their weakening trend.
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Many corporate announcements impacted the stock market today. Dilip Buildcon shares have risen by nearly 4% after it received a Letter of Award for constructing an EPC project worth 3,400 crore rupees from Adani Road Transport.
KNR Constructions rallied 9% after entering into share purchase agreements with the Indus Infra Trust. The company is likely to receive Rs. 1,543 crore in return for investing Rs. 566.83 crore in four Special Purpose Vehicles.
Ola Electric's stock surged 5% as it won Rs. 367 crore PLI-Auto subsidy for FY25. Nonetheless, its stock has fallen 58% so far in 2025.
Castrol India rose 5% as Stonepeak, Motion JVCo, and CPPIB made an open offer to acquire 26% stake at Rs. 194.04 per share.
Indian rupee weakened 23 paise to 89.94 against the US dollar amid foreign fund selling and a rise in crude oil prices. Dollar demand for importers and trade pact uncertainty added to the weakness.
Gold prices jumped to historic highs, with spot gold rising 0.5% to $4,501.44 an ounce, after earlier touching a record $4,530.60. Safe-haven demand and forecasts of further US Federal Reserve interest rate cuts fueled this rise.
Silver continued its extraordinary surge to touch $75 an ounce for the very first time. The metal is already up 158% on the year. The metal started to attract attention owing to its inclusion in the list of US critical minerals.
Prices of crude oil went up due to rising economic pressure by the US on Venezuelan crude. Brent crude increased by 0.4% to $62.48.
Foreign Institutional Investors have been selling for the thirteenth consecutive session now. They have withdrawn stocks worth Rs. 1,721 crore on December 24. But the market received support from the buying activity of Domestic Institutional Investors, amounting to Rs. 2,381 crore.
Also Read: Stock Market Today: Sensex Rises 102 Points, Nifty Holds 26,213 as Hindustan Copper Surges 4.08%
Stock Market Today is showing continuous consolidation in low holiday sessions and foreign capital withdrawal. Analysts feel that this consolidation could continue for another day or two. Nevertheless, they are optimistic about a short-term move north towards the 26,300 and 26,500 levels in Nifty, based on positive technical indicators. Support for Nifty stands at the 26,000 levels.
1. Why is the stock market down today?
The stock market slid largely because of a sell-off in the financial and IT sectors. Additionally, a weak global mood, foreign sales pressures, and increasing crude oil prices impacted market sentiment, leading to a decrease in benchmark indices such as Sensex and Nifty.
2. Which sectors performed poorly today?
The sector that has seen the highest fall in stock market valuation is the IT sector, followed by auto, pharma, PSU banks, and FMCG stocks. All these sectors came under pressure as a result of valuation concerns, foreign fund exits, and a cautious investor sentiment due to the approaching year-end holidays.
3. Were there any sectors that showed resilience despite market weakness?
Yes, metal and energy stocks closed in the positive zone. Defence stocks also performed better, with Nifty India Defence gaining around 1% due to geopolitics and interest in defence stocks. Metal stocks showed some recovery and closed higher.
4. How are FIIs and DIIs functioning now?
Foreign Institutional Investors are continuing their sale of stocks and have sold stocks to the tune of over Rs.1,700 crores. However, buying by Domestic Institutional Investors has helped restrict overall market loss.
5. What are the short-term forecasts for the Nifty?
Experts believe that the trend will persist for the short term, with low volumes and FII selling pressuring the market. Nevertheless, the indicators show a positive trend with target prices being 26,300-26,500 and a strong support level at 26,000.
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