Indian stocks closed lower on Friday, with the Sensex down 0.43% and the Nifty 0.38%, as investors took profits and waited for fresh cues.
Market Recap
The Sensex finished at 85,041 points and the Nifty at 26,042 points. Mid‑cap and small‑cap indexes also slipped a bit. Thin trading volumes and mixed global signals kept the market cautious.
What to Expect Next Week
Analysts expect the market to move sideways for now. Liquidity looks muted, and traders may focus on buying dips in large‑cap stocks and a few stable cyclicals. Keeping stop‑losses tight and avoiding heavy leverage is advised, especially around option‑expiry and upcoming data releases.
Key Triggers to Watch
- India’s industrial production (IIP) data for November, due on Dec 29.
- U.S. Federal Reserve’s meeting minutes, to be released on Dec 31.
- Rupee movements against the U.S. dollar.
Rupee Update
The rupee fell to about 89.90 per dollar, pressured by weak equity markets and foreign fund outflows. Commodity price rises added to the drag. Analysts see the rupee trading between 89.45 and 90.25 in the near term.
Foreign Investor Activity
Foreign Institutional Investors (FIIs) have sold a record ₹22,130 crore of Indian shares this year, pushing total equity outflows for 2025 to roughly ₹2.32 lakh crore. The heavy selling has weighed on the rupee, but stronger fundamentals could attract inflows in 2026.
Gold and Silver Prices
Gold hit an all‑time high of $4,530 per ounce during early Asian trading, while silver broke $75 an ounce for the first time. Gold is up more than 70% YTD, and silver has surged over 150%.
Technical Snapshot
Nifty 50 is holding near its record highs. Support sits around 25,500‑25,700, with resistance near 26,200. A clear breakout could push the index toward 26,500‑26,700.
Bank Nifty is trading in a range, supported near 58,500 and facing resistance around 59,500. A decisive move above or below could set the next direction.
Disclaimer: This analysis is for educational purposes only. Remember, this is just perspective, not a prediction. Do your own research or consult a financial advisor before making any investment decisions.