Indian equities steadied and edged higher in Thursday’s session after a choppy start, with IT and frontline banking stocks helping benchmarks recover despite weak breadth across the broader market. Around midday, investors were still weighing a familiar mix: a soft global risk tone driven by tech jitters, a fragile rupee near record-weak levels, and uncertainty around a potential India–US trade breakthrough. Moneycontrol
Market snapshot: Sensex and Nifty trade near day’s highs, but breadth stays weak
By early afternoon trade, the BSE Sensex was up about 110 points near 84,669, while the NSE Nifty 50 was up about 49 points near 25,868. Despite the mild rise in headline indices, market breadth remained negative, with decliners outpacing gainers. Moneycontrol
This “flat-to-higher index, weaker broader market” setup has been a theme lately. Even in earlier trade on Thursday, 10 of 16 key sectoral indices were in the red, and the mid- and small-cap gauges were largely steady—suggesting the rebound was being carried by a narrower set of large-cap names. Reuters
What’s driving Dalal Street today?
1) A lack of strong domestic triggers is keeping the market range-bound
After three sessions of declines, Indian stocks struggled to establish a clear direction early on Thursday. Analysts cited the absence of near-term catalysts and lingering uncertainty around the India–US trade deal as a key reason the market could remain “directionless” in the near term. Reuters
2) The rupee stabilises—yet stays uncomfortably close to record lows
On the currency front, the rupee was little changed around 90.415 per dollar in mid-morning trade, having steadied after touching an all-time low of 91.075 earlier this week. Traders continued to factor in the possibility of further Reserve Bank of India (RBI) support, even as expectations for a meaningful rupee recovery remained tempered. Reuters
Jefferies flagged a base-case view of the rupee stabilising in the 90–91 range over the next 6–12 months, with a more durable reversal tied to a potential improvement in trade negotiations and portfolio flows. Reuters
3) Global “risk-off” mood: tech anxiety + a packed central bank calendar
Overseas, Asian equities softened as tech stocks took fresh heat amid renewed anxiety around the pace and payoff of global AI-related spending. Markets were also bracing for key central bank decisions across the UK and Europe, with Japan’s policy decision close behind. Reuters
Commodities added another layer of cross-currents. Oil prices rebounded after geopolitical developments involving Venezuela, while precious metals stayed supported—signals of a market that’s still quick to swing between risk and safety. Reuters
Sector check: IT and financials support benchmarks; cyclicals lag
The market’s leadership on Thursday was relatively clear:
- IT stocks held up, with the sector benefiting from both stock-specific news and a defensive tilt within equities. Reuters
- Banking and select financials helped keep the Nifty resilient even while broader participation remained mixed. Moneycontrol
- Auto, pharma and realty were among the notable laggards early in the session, reinforcing the idea that investors are still cautious on economically sensitive pockets. Capital Market
In other words: India stock market today is less about a broad-based rally—and more about pockets of strength offsetting soft spots across the tape. Reuters
Stocks in focus today: the key movers and headlines shaping sentiment
Here are the most-watched themes and counters in Thursday’s session, based on the day’s major news flow:
TCS and the IT pack: AI narrative back in focus
Tata Consultancy Services (TCS) gained after outlining an ambition to become the world’s largest AI-led tech services firm, helping keep the IT index supported. Reuters
AMC stocks surge: SEBI’s mutual fund fee revamp becomes a sector catalyst
Asset managers were among the standout gainers. HDFC AMC and Nippon Life India AMC jumped sharply after the market regulator moved to revamp mutual fund fee rules—a change that markets interpreted as less punitive than earlier feared and potentially supportive for industry economics. Reuters
Behind the move is SEBI’s broader push to improve transparency and restructure how mutual fund costs are disclosed and capped. Reuters reported that the regulator approved reforms aimed at clearer disclosures and revised brokerage limits, with the changes expected to reduce average charges by around 10–15 bps. Reuters
Auto divergence: Tata Motors up, Hero MotoCorp under pressure
- Tata Motors rose after J.P. Morgan initiated coverage with an “Overweight” rating, lifting sentiment around the counter. Reuters
- Hero MotoCorp slipped after Jefferies downgraded the stock to “Underperform,” citing market-share pressures and cutting its target price. Reuters
Ola Electric hits fresh lows after promoter share sale
Ola Electric fell to a new 52-week low after founder-promoter Bhavish Aggarwal sold 4.2 crore shares via open market transactions—an overhang that spooked sentiment around the stock. The Economic Times
Shriram Finance: MUFG stake deal chatter keeps the stock in focus
Shares of Shriram Finance stayed on traders’ radar amid reports around a potential stake sale and the company’s board deliberations. Reuters has reported MUFG’s plans to invest over $4 billion for around a 20% stake in the NBFC, while market coverage on Thursday tracked the stock’s reaction ahead of the board meeting. Reuters
KPI Green Energy: international renewables push lifts sentiment
KPI Green Energy advanced after reports of a landmark MoU tied to renewable energy development in Botswana, adding an international expansion angle to the stock’s narrative. The Economic Times
Vedanta: demerger approval sparks fresh brokerage optimism
Vedanta remained in focus after Kotak Institutional Equities upgraded the stock following reported NCLT approval for the company’s demerger plan—another example of how corporate restructuring stories are attracting selective interest even in a choppy market. The Economic Times
Akzo Nobel India: bulk deal spotlight
Akzo Nobel shares drew attention after a bulk deal in which Goldman Sachs bought shares worth about ₹106 crore, alongside a larger promoter sell-down—activity that often fuels short-term trading interest. The Economic Times
Outlook and forecasts: what analysts are watching next
Near-term trend: support at 25,700; resistance near 26,000
A cluster of daily strategy notes continues to flag a technically sensitive zone for Nifty:
- Support: roughly 25,700–25,650 (some views extend the support band into 25,700–25,800).
- Resistance:25,950–26,000 (some desks flag 26,000–26,100 as an immediate hurdle).
- A decisive break below 25,700 is widely cited as a risk that could open the door to a deeper pullback toward the 25,500–25,400 area. The Economic Times
NDTV Profit’s trade setup similarly warned that a slip below 25,700 could accelerate corrective pressure—reflecting how tightly traders are watching that level intraday. NDTV Profit
Volatility stays muted—until it doesn’t
One reason intraday moves can appear “calm” in the index is that implied volatility remains low. India’s VIX recently slid to around 9.84, reflecting complacency or at least a lack of demand for hedges—though low VIX regimes can flip quickly when a shock hits (currency, geopolitics, policy surprises). The Economic Times
Bank Nifty: momentum cooling after rejection near 59,100
On the banking index, strategists have pointed to a subdued structure after the index failed to sustain moves near the 59,100 zone and slipped below a key moving average—signaling that leadership from banks may be selective rather than broad-based. NDTV Profit
What to watch for the rest of today’s session
With the India stock market today still trading during the afternoon hours, traders are likely to keep reacting to fast-moving variables:
- Rupee action and RBI watch: whether the rupee remains steady near 90–91 per dollar and whether intervention expectations intensify. Reuters
- FPI flow signals: foreign investors recently snapped an eight-session selling streak with provisional net buying, but desks are watching if that improvement sustains. Reuters
- Global central bank decisions: policy outcomes from the Bank of England, the European Central Bank and others, plus expectations around Japan’s next move, could shape risk appetite and currency trends. Reuters
- Commodity swings: especially oil, given India’s import sensitivity and the broader inflation narrative. Reuters
- Trade headlines: any incremental progress (or setbacks) on the India–US trade track remains a market-moving trigger, according to multiple analyst comments in today’s coverage. Reuters
Bottom line
As of midday on December 18, 2025, Indian benchmarks have managed to edge higher after an early wobble—but the underlying tone remains cautious. IT and select financials are doing the heavy lifting, while weaker breadth, rupee fragility, and a soft global risk mood are keeping traders disciplined on the upside. The next directional break may depend less on domestic earnings chatter and more on macro headlines—currency stability, foreign flows, and global policy signals. Reuters
