{"id":9728,"date":"2025-12-29T10:52:11","date_gmt":"2025-12-29T10:52:11","guid":{"rendered":"https:\/\/lemonn.co.in\/blog\/?p=9728"},"modified":"2025-12-29T10:52:12","modified_gmt":"2025-12-29T10:52:12","slug":"india-market-outlook-29-december-2025","status":"publish","type":"post","link":"https:\/\/lemonn.co.in\/blog\/market-updates\/india-market-outlook-29-december-2025\/","title":{"rendered":"India Market Outlook – 29\u00a0December\u00a02025"},"content":{"rendered":"
\"nifty<\/figure>\n\n\n

Market overview<\/h2>\n\n\n\n

Indian equities started the last trading week of 2025 on a weak note. Benchmarks opened marginally higher but quickly lost momentum as traders booked profits amid thin year\u2011end volumes, persistent foreign fund outflows and lack of major domestic triggers. The BSE Sensex<\/strong> slid 0.41 %<\/strong> to close at 84,695.54<\/strong>, while the Nifty 50<\/strong> fell 0.38 %<\/strong> to 25,942.10<\/strong>, slipping below the psychological 26,000<\/strong> level. The Nifty Bank<\/strong> settled 0.13 %<\/strong> lower at 59,932<\/strong>, mirroring the cautious mood. Mid\u2011cap and small\u2011cap indices also declined, highlighting broad\u2011based selling pressure.<\/p>\n\n\n\n

Top indices at the close of 29 Dec 2025<\/h2>\n\n\n\n
Index<\/th>Close (approx.)<\/th>Change*<\/th>Notes<\/th><\/tr><\/thead>
Nifty 50<\/strong><\/td>25,942.10<\/strong><\/td>\u22120.38 %<\/strong><\/td>slipped below 26k; profit\u2011booking led fall<\/td><\/tr>
BSE Sensex<\/strong><\/td>84,695.54<\/strong><\/td>\u22120.41 %<\/strong><\/td>4th straight decline<\/td><\/tr>
Nifty Bank<\/strong><\/td>59,932<\/strong><\/td>\u22120.13 %<\/strong><\/td>banking shares weak<\/td><\/tr>
BSE Midcap<\/strong><\/td>46,508.89<\/strong><\/td>\u22120.45 %<\/strong><\/td>mid\u2011caps under pressure<\/td><\/tr>
BSE Smallcap<\/strong><\/td>43,601.84<\/strong><\/td>\u22120.61 %<\/strong><\/td>broader market weaker<\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n

*percentage change versus previous close; approximate values.<\/p>\n\n\n\n

Sectoral performance<\/h2>\n\n\n\n
Sector\/index<\/th>Performance<\/th>Observations<\/th><\/tr><\/thead>
Media<\/strong><\/td>+0.93 %<\/strong><\/td>only sector with meaningful gains; investors rotated into defensive media names<\/td><\/tr>
FMCG<\/strong><\/td>+0.11 %<\/strong><\/td>marginally higher as defensive buying supported stocks like Hindustan Unilever and Nestl\u00e9<\/td><\/tr>
PSU Bank<\/strong><\/td>+0.05 %<\/strong><\/td>small gains; selective buying in public\u2011sector banks<\/td><\/tr>
Metal<\/strong><\/td>flat to slightly positive<\/td>Tata Steel and some metal shares outperformed<\/td><\/tr>
IT<\/strong><\/td>\u22120.75 %<\/strong><\/td>heaviest drag; profit\u2011taking in large\u2011cap IT names such as TCS and HCL Tech<\/td><\/tr>
Realty<\/strong><\/td>\u22120.67 %<\/strong><\/td>extended previous week\u2019s losses; cautious outlook on real\u2011estate demand<\/td><\/tr>
Auto<\/strong><\/td>\u22120.53 %<\/strong><\/td>selling in auto shares following weak monthly sales expectations<\/td><\/tr>
Pharma\/healthcare<\/strong><\/td>around \u22120.4 %<\/strong><\/td>profit\u2011booking after recent rally<\/td><\/tr>
Power\/Utilities<\/strong><\/td>down 0.4\u20130.9 %<\/strong><\/td>energy stocks, including Reliance Industries, weighed on indices<\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n

Overall, except for media and selective defensive sectors, most sectoral indices closed in the red. IT, realty and auto were the notable laggards.<\/p>\n\n\n\n

Key market statistics<\/h2>\n\n\n\n
Statistic<\/th>Value\/Observation<\/th><\/tr><\/thead>
Advances vs declines<\/strong><\/td>~1,022 advances, 2,188 declines<\/strong>, 84 unchanged out of ~3,300 traded stocks \u2013 broad negative breadth.<\/td><\/tr>
52\u2011week highs\/lows<\/strong><\/td>76 stocks hit new 52\u2011week highs; 130 stocks touched 52\u2011week lows, reflecting profit\u2011taking and weakness in small\u2011caps.<\/td><\/tr>
FII\/DII flows<\/strong><\/td>Foreign institutional investors (FIIs) sold about \u20b9317 crore<\/strong> while domestic institutional investors (DIIs) bought roughly \u20b91,773 crore<\/strong> on a net basis. Persistent FII selling remains a headwind.<\/td><\/tr>
India VIX (volatility gauge)<\/strong><\/td>jumped ~6 % to around 9.7<\/strong>, but remains below long\u2011term averages; the increase signalled caution ahead of monthly F&O expiry.<\/td><\/tr>
Rupee movement<\/strong><\/td>The rupee depreciated to around \u20b989.95 per US dollar<\/strong>, adding to risk\u2011off sentiment.<\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n

Top gainers and losers (Nifty 50)<\/h2>\n\n\n\n
Top gainers<\/th>Brief notes<\/th>Top losers<\/th>Brief notes<\/th><\/tr><\/thead>
Tata Steel<\/strong><\/td>up ~1.9 %<\/strong>; metal sector strength on resilient steel prices<\/td>Adani Ports & SEZ<\/strong><\/td>down ~2.3 %<\/strong>; selling pressure in port stocks<\/td><\/tr>
Tata Consumer Products<\/strong><\/td>modest gain; defensive FMCG demand<\/td>HCL Technologies<\/strong><\/td>declined after profit\u2011booking in IT names<\/td><\/tr>
Asian Paints<\/strong><\/td>buying interest in consumer discretionary<\/td>Power Grid Corp.<\/strong><\/td>slipped due to weakness in power\/utilities index<\/td><\/tr>
Grasim Industries<\/strong><\/td>positive despite broad weakness; chemicals segment resilient<\/td>Trent<\/strong><\/td>fell amid profit booking in retail stocks<\/td><\/tr>
Nestl\u00e9 India<\/strong><\/td>defensive buying lifted stock<\/td>Adani Enterprises \/ BEL<\/strong><\/td>selective selling; Bharat Electronics also fell after recent rally<\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n

Other notable movers: Hindustan Unilever, Eternal, NTPC and Axis Bank closed higher; Adani Ports, Power Grid, HCL Tech and Trent were among the biggest laggards. In the broader market, more than 100 stocks such as Hindustan Copper, Vedanta and Titan Company hit 52\u2011week highs, while over 180 names including Dixon Technologies and ACC hit 52\u2011week lows.<\/p>\n\n\n\n

What moved the market<\/h2>\n\n\n\n
    \n
  • Profit\u2011booking and FII selling<\/strong> \u2013 After a sharp rally in November and early December, investors booked profits ahead of the year\u2011end. Foreign investors continued to pare holdings, citing global trade uncertainties, stretched valuations and a weaker rupee. Net FII selling of ~\u20b9317\u00a0crore contrasted with DII buying of ~\u20b91,773\u00a0crore.<\/li>\n\n\n\n
  • Sectoral drag<\/strong> \u2013 Weakness in IT, realty, auto and pharma stocks pulled the indices lower. Heavyweights like HCL\u00a0Technologies, Power\u00a0Grid and Trent weighed on the market, while metal and FMCG names offered some resilience.<\/li>\n\n\n\n
  • Global cues<\/strong> \u2013 US equity futures were largely flat and Nasdaq\u00a0100 futures slipped about 0.2\u00a0%, suggesting a muted Wall Street lead. European stocks briefly touched record highs but traded flat later in the day. Japanese markets declined, with the Nikkei falling 0.44\u00a0% as tech stocks lagged. Base\u2011metal prices (copper) retreated after hitting record highs, while gold and silver prices crashed from historic peaks, denting sentiment toward commodity stocks. The rupee\u2019s weakness against the US\u00a0dollar and rising US Treasury yields also weighed on foreign inflows.<\/li>\n\n\n\n
  • Volatility and derivatives expiry<\/strong> \u2013 India\u00a0VIX climbed roughly 6\u00a0% to near 9.7. Monthly F&O expiry scheduled later in the week led traders to trim positions, adding to intraday volatility.<\/li>\n<\/ul>\n\n\n\n

    Global cues snapshot<\/h2>\n\n\n\n
    Asset\/Region<\/th>Latest trend (approx.)<\/th>Impact<\/th><\/tr><\/thead>
    US indices<\/strong><\/td>S&P 500 futures flat; Nasdaq 100 futures down ~0.2 %<\/td>provided no positive lead for Indian markets<\/td><\/tr>
    Europe<\/strong><\/td>STOXX 600 near record; resource stocks up on metals rally<\/td>early boost offset later by profit\u2011booking<\/td><\/tr>
    Japan<\/strong><\/td>Nikkei fell ~0.44 % as tech names sold off<\/td>signalled caution in Asian equities<\/td><\/tr>
    Commodities<\/strong><\/td>Gold and silver fell sharply after hitting record highs; copper eased from record high<\/td>triggered profit\u2011booking in metal stocks despite resilience in select names<\/td><\/tr>
    Rupee\/USD<\/strong><\/td>rupee weakened to ~\u20b989.95; FII outflows continued<\/td>added to risk\u2011off sentiment<\/td><\/tr>
    India VIX<\/strong><\/td>rose ~6 % to around 9.7<\/td>indicates rising short\u2011term volatility<\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n

    Stocks to watch<\/h2>\n\n\n\n
    Company\/stock<\/th>Reason to watch<\/th><\/tr><\/thead>
    Ceigall India<\/strong> (Ceigall Infra Projects)<\/td>subsidiary won a \u20b91,000 + crore<\/strong> Indore\u2013Ujjain Greenfield highway contract from MPRDC. Could boost revenue visibility.<\/td><\/tr>
    Arvind Fashions<\/strong><\/td>announced acquisition of Flipkart\u2019s 31.25 % stake<\/strong> in Arvind Youth Brands for \u20b9135 crore<\/strong>, consolidating its Flying Machine apparel brand.<\/td><\/tr>
    Zepto<\/strong><\/td>quick\u2011commerce start\u2011up filed for a \u20b9110 billion (~$1.22 bn) IPO<\/strong> via the confidential route; watch for listing prospects in 2026.<\/td><\/tr>
    Larsen & Toubro (L&T)<\/strong><\/td>transportation infrastructure arm won a significant order to build a 22.3 km<\/strong> Hyderabad Greenfield radial road; highlights strong order book.<\/td><\/tr>
    Hikal<\/strong><\/td>shares fell after the company disclosed discrepancies in revenue reporting over the past three quarters. Investors may monitor any regulatory action.<\/td><\/tr>
    Diamond Power Infrastructure<\/strong><\/td>received a letter of intent from Hild Projects worth \u20b966 crore<\/strong> for power\u2011cable supply; stock modestly lower despite order.<\/td><\/tr>
    Graphite India<\/strong><\/td>rallied ~4.6 % on heavy volumes, hitting a two\u2011month high; strong technical momentum could continue if volumes persist.<\/td><\/tr>
    Defence stocks (Midhani, Mazagon Dock, Bharat Dynamics)<\/strong><\/td>surged up to 11 %<\/strong> ahead of the Defence Acquisition Council meeting; traders anticipate fresh orders worth \u20b979,000 crore.<\/td><\/tr>
    Realty and railway\u2011linked stocks<\/strong><\/td>DLF, Brigade Enterprises and Anant Raj declined as real estate index lagged; Indian Railway Finance Corporation and Rail Vikas Nigam fell up to 4 %<\/strong> after multi\u2011session gains. These names may remain volatile.<\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n

    Corporate updates<\/h2>\n\n\n\n
      \n
    • Ceigall\u00a0India<\/strong>\u2019s subsidiary Ceigall\u00a0Infra Projects will construct the Indore\u2013Ujjain Greenfield four\u2011lane access\u2011controlled highway, a contract valued at over \u20b91,000\u00a0crore awarded by MPRDC.<\/li>\n\n\n\n
    • Arvind\u00a0Fashions<\/strong> will purchase Flipkart\u2019s 31.25\u00a0% stake<\/strong> in Arvind Youth Brands for \u20b9135\u00a0crore<\/strong> to strengthen the Flying\u00a0Machine clothing brand.<\/li>\n\n\n\n
    • Zepto<\/strong> filed confidential papers for a \u20b9110\u00a0billion (~$1.22\u00a0bn) IPO<\/strong>, positioning it as one of India\u2019s anticipated listings for 2026.<\/li>\n\n\n\n
    • L&T<\/strong>\u2019s transportation infrastructure division secured a significant order for the Hyderabad Greenfield radial road project, adding to its robust order book.<\/li>\n\n\n\n
    • Hikal<\/strong> revealed revenue\u2011recognition discrepancies across three quarters, resulting in investor concerns and a drop in its share price.<\/li>\n\n\n\n
    • BirlaNu<\/strong> shares surged ~9\u00a0% after a significant block deal; SEPC<\/strong> gained on winning a \u20b9230\u00a0crore order from MOIL; Vikran\u00a0Engineering<\/strong> and Solarworld\u00a0Energy<\/strong> rose on new order wins; Timex Group India<\/strong> declined after promoter stake sale.<\/li>\n<\/ul>\n\n\n\n

      Outlook and technical levels for 30 Dec 2025<\/h2>\n\n\n\n

      Analysts expect the market to remain in consolidation mode<\/strong> in the near term. Lack of fresh catalysts, holiday\u2011light trading and F&O expiry could keep indices range\u2011bound with an underlying cautious tone.<\/p>\n\n\n\n

      Key technical levels<\/strong> (Nifty 50):<\/h3>\n\n\n\n
        \n
      • Immediate resistance<\/strong>: 26,145\u201326,250<\/strong> \u2013 the index needs to close above this zone to regain momentum.<\/li>\n\n\n\n
      • Major resistance<\/strong>: 26,300<\/strong> \u2013 a breakout above this level could open room toward 26,500<\/strong>.<\/li>\n\n\n\n
      • Immediate support<\/strong>: 25,900<\/strong> \u2013 holding above this can prevent deeper corrections.<\/li>\n\n\n\n
      • Key support zone<\/strong>: 25,700\u201325,800<\/strong> \u2013 confluence of the 50\u2011day moving average, previous lows and Fibonacci retracement; a decisive break could drag the index to 25,500<\/strong>.<\/li>\n<\/ul>\n\n\n\n

        Bank Nifty levels<\/strong>:<\/h3>\n\n\n\n
          \n
        • Support<\/strong>: 58,500\u201358,800<\/strong>; a base around this zone could lead to a bounce.<\/li>\n\n\n\n
        • Resistance<\/strong>: 59,500\u201359,800<\/strong>; sustained trade above 59,500<\/strong> may allow a retest of the record high near 60,100<\/strong>.<\/li>\n<\/ul>\n\n\n\n

          Expected market tone<\/strong> for Tuesday:<\/h3>\n\n\n\n
            \n
          • Cautious to neutral<\/strong> \u2013 traders may prefer selective, stock\u2011specific opportunities while overall indices consolidate.<\/li>\n\n\n\n
          • Volatility likely<\/strong> due to monthly derivatives expiry; intraday swings could remain sharp within the defined range.<\/li>\n\n\n\n
          • Sector rotation<\/strong> may continue; defensive pockets such as FMCG, media and PSU banks could stay resilient, while IT, realty and auto may remain under pressure.<\/li>\n\n\n\n
          • Watch global cues<\/strong> \u2013 US macro data releases, commodity price movements and foreign fund flows will influence sentiment. A sustained bounce in global markets or clarity on geopolitical tensions could trigger a relief rally, whereas continued weakness abroad might extend the corrective phase.<\/li>\n<\/ul>\n\n\n\n

            Conclusion<\/h2>\n\n\n\n

            On 29 December 2025, Indian equities extended their losing streak amid profit\u2011taking, foreign selling and weak global signals. Broader market breadth remained negative, with most sectors in the red except for media and select defensive areas. While some metal and FMCG names offered support, heavyweights in IT, real estate, auto and power dragged the indices lower. Volatility spiked modestly but remained below long\u2011term averages. With the Nifty hovering around the 26,000 mark and Bank Nifty around 60,000, traders may see a range\u2011bound market leading into the final session of the year. Attention will be on upcoming corporate announcements, global market trends and the monthly derivatives expiry to gauge whether consolidation continues or a directional breakout occurs.<\/p>\n","protected":false},"excerpt":{"rendered":"

            Market overview Indian equities started the last trading week of 2025 on a weak note. Benchmarks opened marginally higher but quickly lost momentum as traders booked profits amid thin year\u2011end volumes, persistent foreign fund outflows and lack of major domestic triggers. The BSE Sensex slid 0.41 % to close at 84,695.54, while the Nifty 50 fell 0.38 % to […]<\/p>\n","protected":false},"author":9,"featured_media":8213,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_ayudawp_aiss_exclude":false,"footnotes":""},"categories":[512],"tags":[],"class_list":["post-9728","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-market-updates"],"blocksy_meta":[],"_links":{"self":[{"href":"https:\/\/lemonn.co.in\/blog\/wp-json\/wp\/v2\/posts\/9728","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/lemonn.co.in\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/lemonn.co.in\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/lemonn.co.in\/blog\/wp-json\/wp\/v2\/users\/9"}],"replies":[{"embeddable":true,"href":"https:\/\/lemonn.co.in\/blog\/wp-json\/wp\/v2\/comments?post=9728"}],"version-history":[{"count":1,"href":"https:\/\/lemonn.co.in\/blog\/wp-json\/wp\/v2\/posts\/9728\/revisions"}],"predecessor-version":[{"id":9729,"href":"https:\/\/lemonn.co.in\/blog\/wp-json\/wp\/v2\/posts\/9728\/revisions\/9729"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/lemonn.co.in\/blog\/wp-json\/wp\/v2\/media\/8213"}],"wp:attachment":[{"href":"https:\/\/lemonn.co.in\/blog\/wp-json\/wp\/v2\/media?parent=9728"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/lemonn.co.in\/blog\/wp-json\/wp\/v2\/categories?post=9728"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/lemonn.co.in\/blog\/wp-json\/wp\/v2\/tags?post=9728"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}