Sensex and Nifty Trends

The BSE Sensex opened flat but edged lower by 58.79 points during the day, eventually settling at 84,486.98, reflecting a 0.21% decline. This level places the Sensex approximately 1.98% below its 52-week high of 86,159.02. Notably, the index continues to trade above its 50-day moving average (DMA), which itself remains above the 200 DMA, signalling a sustained medium-term positive technical setup despite the current pullback.

The Nifty index mirrored this cautious tone, with sectoral performances contributing to the mixed market sentiment. Large-cap stocks traded largely flat, with no significant directional momentum emerging from the heavyweight constituents.

Sectoral Performance: Winners and Losers

Out of 38 sectors tracked on the BSE, exactly half advanced while the other half declined, underscoring the market’s indecisiveness. The Metal sector emerged as the top gainer, registering a 0.81% rise, buoyed by select stocks showing resilience amid global commodity price fluctuations. Conversely, the Nifty PSU Bank sector lagged, slipping 0.75%, pressured by concerns over asset quality and subdued credit growth prospects.

Mid and small-cap segments reflected the broader market caution. The BSE Midcap index declined by 0.53%, while the Smallcap and BSE100 indices fell by 0.18% and 0.17% respectively. The advance-decline ratio across the BSE500 was 197 advances against 301 declines, translating to a ratio of 0.65, indicating a predominance of stocks in retreat.

Top Gainers and Losers Across Market Caps

Among large caps, AU Small Finance Bank stood out as the top gainer, appreciating by 2.96%. This performance was mirrored in the mid-cap space where AU Small Finance also led gains with the same percentage rise, highlighting investor interest in the financial services segment. In the small-cap category, S T C recorded a notable surge of 12.99%, marking it as the most significant outperformer in the session.

On the downside, Persistent Systems was the largest decliner among large caps, retreating by 2.49%. Kaynes Technology and Hubtown were the most prominent laggards in the mid and small-cap categories, falling 8.47% and 9.34% respectively. These declines reflect sector-specific challenges and profit-booking pressures.

Broader Market Movers

Within the BSE500 universe, Welspun Living led the gainers with an 8.05% rise, followed by Balrampur Chini at 6.27% and Metro Brands at 5.19%. These stocks attracted buying interest amid sector-specific developments and positive earnings outlooks.

Conversely, Kaynes Technology’s 8.47% decline was the steepest among the BSE500 losers, accompanied by ERIS Lifesciences and Tata Tele. Maharashtra, which fell 5.17% and 4.87% respectively. These movements highlight the uneven distribution of market enthusiasm across sectors and companies.

Foreign Institutional and Domestic Investor Activity

Foreign institutional investors (FIIs) and domestic institutional investors (DIIs) remained cautious, reflecting the mixed market tone. While detailed net inflow or outflow figures were not disclosed, the subdued market breadth and sectoral divergence suggest restrained participation from both categories. This cautious stance aligns with global uncertainties and domestic macroeconomic factors influencing investor sentiment.

Global Cues and Their Impact

Global markets exhibited a cautious mood amid ongoing geopolitical tensions and economic data releases. Asian indices showed mixed performances, while European markets traded with modest losses. Commodity prices, particularly metals, showed some firmness, supporting the Metal sector’s relative strength in India. Currency movements and bond yields also contributed to the cautious positioning of investors in Indian equities.

Technical Observations and Market Outlook

Technically, the Sensex’s position above its 50 DMA, which itself is above the 200 DMA, indicates that the medium-term trend remains intact despite the current consolidation. However, the near-equal number of advancing and declining sectors and the negative advance-decline ratio across the BSE500 suggest that the market is undergoing a phase of selective profit-taking and sector rotation.

Investors may continue to monitor global developments and domestic economic indicators closely, as these will likely influence the market’s direction in the near term. The performance of key sectors such as Metal and PSU Banks will be critical in shaping overall market sentiment.

Summary

In summary, the Indian equity markets on 10 December 2025 displayed a cautious stance with the Sensex and Nifty indices trading slightly lower amid mixed sectoral performances. While the Metal sector showed resilience, PSU Banks faced pressure. Large caps remained largely flat with select gainers such as AU Small Finance Bank and S T C standing out. Market breadth was weak, and institutional investors appeared reserved amid global uncertainties. The technical setup suggests a consolidation phase, with investors advised to watch key sectors and global developments closely for cues on the market’s next move.

Only ₹14,999 - Get MojoOne + Stock of the Week for 2 Years PLUS 6 Months FREE Claim 83% OFF →