Business & Finance

Stock Markets See Early Decline: Sensex and Nifty Slide Amid Low Trading Volumes and FII Outflows

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Stock Markets See Early Decline: Sensex and Nifty Slide Amid Low Trading Volumes and FII Outflows

<p>The Indian stock market opened on a negative note on <strong>December 26, 2025</strong>, with <strong>benchmark indices</strong> <strong>Sensex</strong> and <strong>Nifty</strong> both trading lower. The early morning trade was subdued due to <strong>foreign fund outflows</strong>, low <strong>holiday trading volumes</strong>, and the absence of any <strong>significant domestic triggers</strong>.</p> <hr class="wp-block-separator has-alpha-channel-opacity"/> <h3 class="wp-block-heading"><strong>Market Performance: Sensex and Nifty Decline</strong></h3> <p>In early trade, the <strong>30-share BSE Sensex</strong> fell <strong>183.42 points</strong>, reaching <strong>85,225.28</strong>, while the <strong>50-share NSE Nifty</strong> dipped <strong>46.45 points</strong>, settling at <strong>26,095.65</strong>.</p> <p>Among the major <strong>laggards</strong>, <strong>Bajaj Finance</strong>, <strong>Sun Pharma</strong>, <strong>Tata Steel</strong>, <strong>Tata Consultancy Services (TCS)</strong>, and <strong>Bharti Airtel</strong> were among the worst performers. However, <strong>Bharat Electronics</strong>, <strong>Titan</strong>, <strong>Infosys</strong>, and <strong>UltraTech Cement</strong> showed positive movement, providing some support to the market.</p> <hr class="wp-block-separator has-alpha-channel-opacity"/> <h3 class="wp-block-heading"><strong>Impact of Foreign and Domestic Funds</strong></h3> <p>Foreign Institutional Investors (FIIs) continued their <strong>selling trend</strong>, offloading equities worth <strong>₹1,721.26 crore</strong> on <strong>December 24</strong>, while Domestic Institutional Investors (DIIs) were active buyers, purchasing <strong>₹2,381.34 crore</strong> in stocks during the same period. This mixed activity has kept the markets in a <strong>consolidation phase</strong> without any strong momentum.</p> <hr class="wp-block-separator has-alpha-channel-opacity"/> <h3 class="wp-block-heading"><strong>Market Sentiment and Global Influences</strong></h3> <p>Despite some positive movement in <strong>Asian markets</strong>, including <strong>South Korea's Kospi</strong> and <strong>Japan’s Nikkei 225</strong>, the <strong>SSE Composite Index</strong> in <strong>Shanghai</strong> was down, adding to the global uncertainty. The <strong>U.S. markets</strong> were closed on <strong>Thursday (December 25)</strong> for Christmas, which also contributed to the muted market action.</p> <hr class="wp-block-separator has-alpha-channel-opacity"/> <h3 class="wp-block-heading"><strong>Market Outlook</strong></h3> <p><strong>V.K. Vijayakumar</strong>, Chief Investment Strategist at <strong>Geojit Investments</strong>, suggested that in the absence of fresh <strong>market catalysts</strong>, such as a <strong>U.S.-India trade deal</strong>, the market would likely consolidate and remain <strong>range-bound</strong>. <strong>Prashanth Tapse</strong>, Senior VP of Research at <strong>Mehta Equities</strong>, echoed this sentiment, emphasizing the <strong>fragile market mood</strong> due to the <strong>FII selling</strong> and <strong>low holiday volumes</strong>.</p> <figure class="wp-block-image size-large"><img src="/news-images/ba41500ecafbe1f36a7e.png" alt="Sensex Nifty closing December 26 2025" class="wp-image-504"/></figure> <hr class="wp-block-separator has-alpha-channel-opacity"/> <h3 class="wp-block-heading"><strong>Crude Oil and Other Indicators</strong></h3> <p>On the <strong>commodities front</strong>, <strong>Brent crude</strong> inched up by <strong>0.11%</strong>, reaching <strong>$62.31 per barrel</strong>, providing a mild boost to the energy sector. However, the overall <strong>stock market sentiment</strong> remains volatile as investors await new <strong>market triggers</strong>.</p> <hr class="wp-block-separator has-alpha-channel-opacity"/> <h3 class="wp-block-heading"><strong>Conclusion</strong></h3> <p>With a <strong>lack of significant triggers</strong> in the market, the <strong>Sensex</strong> and <strong>Nifty</strong> are likely to remain <strong>range-bound</strong> and <strong>volatile</strong>. The ongoing <strong>FII outflows</strong> and <strong>low holiday trading volumes</strong> have created a <strong>fragile market sentiment</strong>, and it will take fresh developments, such as a <strong>U.S.-India trade deal</strong> or other positive news, to give the markets a decisive direction.</p>

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