Markets opened cautiously higher on Wednesday, with the Sensex rising 247.16 points or 0.29 per cent to ₹84,913.44 and the Nifty gaining 69.35 points or 0.27 per cent to 25,909.00 at 9:40 AM, as investors awaited the crucial US Federal Reserve monetary policy outcome later tonight. The Sensex opened at ₹84,607.49 against its previous close of ₹84,666.28, while the Nifty opened at 25,864.05 against its previous close of 25,839.65.
Most sectors traded in the green, though the overall undertone remained cautious with global investors focused on the Fed’s commentary on growth and inflation outlook to assess the future trajectory of interest rates. Markets broadly expect a 25 basis points rate cut from the Fed on Wednesday.
Among the top gainers on the Nifty50, Adani Ports led with a 1.52 per cent jump to ₹1,520.00, followed by Hindalco which gained 1.51 per cent to ₹825.20. Bajaj Finserv rose 1.06 per cent to ₹2,091.40, while Mahindra & Mahindra added 0.95 per cent to ₹3,670.50 and Kotak Mahindra Bank climbed 0.92 per cent to ₹2,147.30.
On the losing side, IndiGo witnessed the steepest decline, falling 1.60 per cent to ₹4,888.00. SBI Life Insurance dropped 0.50 per cent to ₹1,996.10, Titan Company slipped 0.32 per cent to ₹3,836.80, Bharti Airtel declined 0.28 per cent to ₹2,083.90, and HDFC Life Insurance fell 0.26 per cent to ₹760.90.
“As the year slowly draws to a close the market structure is becoming challenging. Heavy selling in the broader market is justified since valuations have been elevated and kept high only on the strength of liquidity,” said Dr VK Vijayakumar, Chief Investment Strategist at Geojit Investments Limited.
Vijayakumar noted that “a major concern is the excessive delay in the finalisation of the US-India trade deal,” adding that “a remark by President Trump yesterday that action should be taken on India for dumping rice in the US hurt sentiments further.”
However, he maintained an optimistic outlook on fundamentals: “Higher growth and corporate earnings are achievable in the quarters ahead. The fiscal and monetary stimulus provided this year have started producing results.”
Institutional flows remained divergent, with Foreign Institutional Investors selling equities worth ₹3,760 crore on December 9, while Domestic Institutional Investors absorbed the pressure with net purchases exceeding ₹6,200 crore. December has already witnessed more than ₹11,000 crore of net FII outflows.
“Nifty 50 continues to trade within a well-defined rising channel on the daily timeframe, reaffirming that the broader bullish structure remains firmly intact as long as the index sustains above 25,900 on an hourly closing basis,” said Ponmudi R, CEO of Enrich Money.
From a technical perspective, the Nifty faces stiff resistance at 25,950-26,000, a supply zone that has repeatedly capped upside attempts, with immediate support placed at 25,650-25,700. Bank Nifty exhibited a similar structure, with immediate support at 58,900-59,000 and resistance at 59,500-59,600.
In commodities, silver emerged as the standout performer, surging nearly 3.5 per cent to hit fresh record highs in both domestic and international markets. “Silver prices move from $50 to $60 per troy ounce came in just 12 trading sessions. Physical delivery shortages and strength in the industrial metals are supporting silver prices,” said Rahul Kalantri, VP Commodities at Mehta Equities Ltd.
MCX Silver futures confirmed a historic breakout above ₹1,90,000 and were trading near ₹1,90,295, while MCX Gold futures consolidated near ₹1,30,300. Kalantri noted that “markets are pricing in a 90 per cent chance of a 0.25 per cent U.S. interest rate cut at from the Fed this week.”
Crude oil extended its decline, falling for the second straight session amid optimism over Russia-Ukraine peace negotiations. “The IEA’s previous report projected a larger inventory surplus for 2026, and any progress on the Russia-Ukraine peace deal could further boost global supply through easing sanctions on Russian oil,” Kalantri added.
The rupee continued to face pressure, trading near 89.88-90.01 against the U.S. dollar, while the U.S. 10-year bond yield climbed to 4.18 per cent, reflecting lingering inflation caution despite strong expectations of a rate cut.
“Given the prevailing volatility and global uncertainties, traders are advised to adopt a selective buy-on-dips strategy, maintain prudent leverage, and use tight trailing stop-losses coupled with staggered profit-booking,” said Amruta Shinde, Technical & Derivative Analyst at Choice Equity Broking Private Limited.
Prashanth Tapse, Senior VP (Research) at Mehta Equities Ltd, advised that “traders prefer selling Nifty and Bank Nifty on rallies,” while “selective buying is confined to names such as Pondy Oxides & Chemicals, Cholamandalam Finance and Dredging Corporation on intraday weakness.”
Published on December 10, 2025
