Equity benchmarks halted a three-session losing streak on Thursday, with the Sensex increasing by 426.86 points, or 0.51%, to close at 84,818.13. This uptick occurred despite the rupee hitting a record low of 90.37 against the US dollar, amplifying concerns about imported inflation and currency volatility.
The Nifty 50 also showed gains, rising 140.55 points, or 0.55%, to settle at 25,898.55. After testing critical support levels early in the day, the index dipped to an intra-day low of 25,693 before experiencing a sharp recovery of nearly 229 points, indicating renewed buying interest at lower price points.
“Equity markets ended higher on Thursday as the widely-expected 25 basis points rate cut by the US Federal Reserve lifted investor sentiment,” said Ponmudi R, CEO of Enrich Money. However, he noted that gains were somewhat limited by the substantial decline in the Indian rupee, which kept currency-related worries heightened. “Fresh concerns about delays in effective progress in India-US trade negotiations also impacted risk appetite, restricting broader gains for domestic equities,” he added.
Market breadth was favorable, with 2,397 stocks advancing compared to 1,786 declining on the BSE, which saw a total of 4,341 stocks traded. A total of 85 stocks reached their 52-week highs, while 166 hit their lows. Four stocks triggered the lower circuit, with none hitting the upper circuit.
Adani Enterprises led the Nifty gainers, rising 2.65% to ₹2,270.20, closely followed by Jio Financial Services, which climbed 2.63% to ₹298.50. Tata Steel increased by 2.57% to ₹166.40, while Eveready Industries gained 2.38% to ₹290. The top five gainers rounded off with Kotak Mahindra Bank, which rose by 2.06% to ₹2,173.30.
On the downside, Asian Paints declined by 1% to ₹2,776.50, becoming the top loser. SBI Life Insurance fell by 0.86% to ₹1,997.10, Bharti Airtel decreased by 0.63% to ₹2,054, Power Grid Corporation dropped by 0.28% to ₹264.75, and ONGC fell by 0.22% to ₹238.76.
Sectoral indices reflected broad-based gains, with the Capital Market index outperforming by rallying 2.70%. The Nifty Midcap 100 surged by 0.97% to 59,578.05, while the Nifty Smallcap 100 advanced by 0.81% to 17,228.05. The Nifty Bank rose by 0.42% to 59,209.85, the Nifty Financial Services gained 0.58% to 27,561.90, and the Nifty Next 50 added 0.54% to close at 67,939.50.
“Markets staged a rebound on the weekly expiry day, rising nearly 0.5% following three consecutive declines,” said Ajit Mishra, SVP Research at Religare Broking. “Buying across IT, auto, metals, realty, and banking sectors helped mitigate recent weaknesses. A decline in India VIX and positive global cues following Wall Street’s recovery post the Fed policy decision also supported the sentiment. Furthermore, robust equity inflows of ₹29,894 crore in November buoyed domestic sentiment.”
In the currency market, the rupee faced turbulence, depreciating by 41 paise to close at 90.37 per dollar. “The rupee plunged to a record low against the US dollar yesterday, primarily due to aggressive dollar purchases by importers, with soaring global prices for precious metals compelling importers to rush for dollars,” explained Dilip Parmar, Research Analyst at HDFC Securities. He identified that immediate market resistance for the spot USDINR pair is now at 90.70, while the crucial support level has risen to 90.10 from the previous 89.70.
NSE cash market turnover saw a decrease of 17% compared to the previous session, marking its lowest level in four months. The BSE advance-decline ratio improved to 1.40, indicating a resurgence of buying interest following the last session’s correction.
“Technically, after an early morning intraday dip, the market found support near 25,700/84,150 and bounced back sharply, with a rally of over 200/700 points from the day’s lowest point,” stated Shrikant Chouhan, Head of Equity Research at Kotak Securities. “We believe that 25,850/84,500 and 25,700/84,150 will serve as key support zones. On the upside, 25,950/85,000 is anticipated to be immediate resistance for the bulls.”
Looking forward, market participants are advised to monitor the rupee’s movement and its potential impact on corporate earnings, particularly in import-dependent sectors. Nandish Shah, Deputy Vice President at HDFC Securities, noted that “a decisive move below 25,735 could lead to further downside toward support levels at 25,663 and 25,450. Conversely, the 20-day exponential moving average at 25,956 is likely to act as immediate resistance, with 26,202 remaining a significant hurdle for the bulls.”
Published on December 11, 2025.
