Indian Stock Market Sees Third Consecutive Day of Losses Amid Global Uncertainty

Indian Stock Market Ends Lower for Third Consecutive Session

The Indian stock market ended lower for the third consecutive session on Wednesday, December 10, due to mixed global cues ahead of the US Federal Reserve policy outcome. The market benchmark Sensex rose to an intraday high of 85,020.34 but failed to hold gains and dropped 629 points from the day's high to end in the negative territory.

Key Market Highlights

The 30-share Sensex ended 275 points, or 0.32%, lower at 84,391.27, while the Nifty 50 settled at 25,758, down 82 points, or 0.32%. The BSE Midcap and Smallcap indices fell 1.08% and 0.58%, respectively.

Investors Lose Over ₹1 Lakh Crore

Investors lost more than ₹1 lakh crore in a single session, as the overall market capitalisation of BSE-listed firms rose to nearly ₹463.8 lakh crore from ₹465 lakh crore in the previous session.

Reasons Behind the Market's Downtrend

Persisting uncertainty over an India-US trade deal, the rupee's weakness, and continuous foreign capital outflow have been the key factors behind the market's downtrend. According to Vinod Nair, Head of Research at Geojit Investments Limited, Indian markets mirrored global caution, weighed down by persistent FII outflows, INR weakness, and uncertainty surrounding US–India trade negotiations.

Top Gainers and Losers

The top gainers in the Nifty 50 index included Eicher Motors (up 1.54%), Hindalco Industries (up 1.07%), and HDFC Life Insurance Company (up 1.06%). The top losers included InterGlobe Aviation (IndiGo) (down 3.17%), Eternal (down 3.09%), and Trent (down 1.77%).

Sectoral Indices

Nifty Consumer Durables (down 1.72%), IT (down 0.89%), and PSU Bank (down 0.70%) ended with significant losses. On the other hand, Nifty Media (up 0.48%), Metal (up 0.46%), and Pharma (up 0.17%) ended in the green.

Technical Outlook

According to Sudeep Shah, Head - Technical and Derivatives Research at SBI Securities, the 50-day EMA zone of 25,730–25,700 is likely to act as an immediate support zone for the index. A sustained move below this key short-term technical support level of 25,700 could lead to Nifty drifting further down, potentially taking it lower towards 25,500.