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Key gauges end lower for third straight day
Dec-10-2025

Indian equity benchmarks continued to slide down for the third consecutive sessions on Wednesday and closed the day lower, dragged by a last-hour selloff in Consumer Durables, Capital Goods and IT shares. Investors were in a wait-and-watch mode, awaiting clarity from the US Federal Reserve before taking decisive positions. 

Some of the important factors in trade:

ADB upgrades India’s growth projection to 7.2% for fiscal year ending March 2026: The Asian Development Bank (ADB) has upgraded India’s growth projection by 0.7 percentage points to 7.2% for fiscal year ending March 2026 from 6.5% projected in September release. 

India, EU FTA talks progress: Commerce and Industry Minister Piyush Goyal has said negotiations for the India-EU free trade agreement are progressing, and a rough outline of the pact has been prepared. He said both sides are committed to an early conclusion of the deal.

Rupee falls against US Dollar: Indian rupee depreciated against the US dollar, tracking a negative trend in domestic equities and sustained foreign fund outflows. Investors were also awaiting cues from the US-India trade talks, which could boost the rupee in the coming days. 

Cement industry's stocks in watch: The Crisil Intelligence has estimated that Indian cement industry's volume likely to rise 8% to 9% year-on-year (YoY) in the second half of FY26, led by pent-up demand and better liquidity. 

Global front: European markets were trading mostly in red after recent comments from European Central Bank officials suggested a pragmatic, wait-and-see approach. Asian markets settled mostly down as investors parsed mixed inflation data from China and awaited the Federal Reserve's interest rate decision later in the day. 

Finally, the BSE Sensex fell 275.01 points or 0.32% to 84,391.27 and the CNX Nifty was down by 81.65 points or 0.32% to 25,758.00.      

The BSE Sensex touched high and low of 85,020.34 and 84,313.62 respectively. There were 10 stocks advancing against 19 stocks declining, while 1 stock remained unchanged on the index.  

The broader indices ended in red; the BSE Mid cap index fell 1.08%, while Small cap index was down by 0.58%.

The top gaining sectoral indices on the BSE were Metal up by 0.52%, Energy up by 0.21%, Oil & Gas up by 0.08%, Basic Materials up by 0.06% and Utilities up by 0.06%, while Consumer Durables down by 1.18%, Capital Goods down by 0.99%, IT down by 0.90%, TECK down by 0.87% and Industrials down by 0.76% were the top losing indices on BSE. 

The top gainers on the Sensex were Tata Steel up by 1.00%, Sun Pharma up by 0.75%, ITC up by 0.56%, NTPC up by 0.48% and Reliance Industries up by 0.43%. On the flip side, Eternal down by 2.86%, Trent down by 1.66%, Bharti Airtel down by 1.10%, Infosys down by 0.92% and Ultratech Cement down by 0.83% were the top losers.

Meanwhile, the Asian Development Bank (ADB) in its latest Asian Development Outlook has upgraded India’s growth projection by 0.7 percentage points to 7.2% for fiscal year ending March 2026 from 6.5% projected in September release. It noted that growth will be driven primarily by robust domestic consumption supported by recent tax cuts. It noted that GDP grew faster-than-expected 8.2% in second quarter of current fiscal (July to September 2025), leading to an average growth of 8% in the first half of the fiscal year. The strong growth is attributable to robust expansion of the manufacturing and services sectors on the supply side and consumption and investment on the demand side. Exports remained resilient due to frontloading ahead of elevated US tariffs and diversification to non-US markets.

It further said growth is expected to moderate in the second half, as the central government’s capital spending eases amid fiscal consolidation efforts, and export growth softens, driven by elevated US tariffs impacting select Indian exports. However, stronger-than-expected consumption demand, helped by a robust rural economy, the impact of GST rate cuts, and steady credit growth will support growth.  On the supply side, domestic industrial demand will be tempered by muted goods exports and strong imports. The services sector, which has grown by 9.3% in first half of fiscal year, will continue to grow strongly, helped by robust domestic and external demand. 

Growth in next fiscal year ending March 2027 is maintained at 6.5%. A strong growth outcome in the first half of current year will result in an unfavorable base effect for the corresponding period in next year. However, this is likely to be offset by an array of recent measures incentivizing growth, such as enhanced labor market flexibility through a revamp of the labor laws, simplification of GST, relaxation of import restrictions for selected products, and credit relief and support to exporters affected by US tariffs. Risks remain balanced, with downside risks coming from potential escalation of trade tensions and weather‑related shocks, while upside potential could emerge if trade negotiations with the US yield a lower tariff rate for India. Meanwhile, developing Asia’s growth outlook is revised to 5.1% for 2025 and 4.6% for 2026, up by 0.3 and 0.1 percentage points, respectively, from September.

CNX Nifty touched high and low of 25,947.65 and 25,734.55 respectively. There were 19 stocks advancing against 31 stocks declining on the index.    

The top gainers on Nifty were Eicher Motors up by 1.54%, Hindalco up by 1.07%, HDFC Life Insurance up by 1.06%, Tata Steel up by 0.83% and Sun Pharmaceutical Industries up by 0.70%. On the flip side, Interglobe Aviation down by 3.17%, Eternal down by 3.09%, Trent down by 1.77%, Adani Enterprises down by 1.39% and JSW Steel down by 1.31% were the top losers.

European markets were trading mostly in red; France’s CAC fell 37.51 points or 0.47% to 8,015.00 and Germany’s DAX lost 146.95 points or 0.61% to 24,015.70, while UK’s FTSE 100 increased 13 points or 0.13% to 9,655.01.

Asian markets settled mostly down on Wednesday as investors were awaiting the Federal Reserve's interest rate decision later in the day, while Jerome Powell’s remarks to the press after the rate announcement also waiting for clues on the easing cycle’s direction. Investors will be focused on Fed’s final Summary of Economic Projections (SEP) for 2025, which includes forecasts from Fed officials on economic growth, inflation, and interest rates for the coming years. Chinese shares declined after the release of mixed inflation data, with consumer price inflation accelerating in November while factory deflation worsened. Attention now turns to the China's upcoming Central Economic Work Conference, where policymakers are expected to outline next year’s growth targets and policy plans. Moreover, Japanese shares slipped marginally ahead of the Bank of Japan policy meetings. Bank of Japan Governor Kazuo Ueda indicated that the central bank is getting close to its inflation target, suggesting a potential near-term rate hike.

Asian Indices

Last Trade            

Change in Points

Change in %      

Shanghai Composite

3,900.50

-9.02

-0.23

Hang Seng

25,540.78

106.55

0.42

Jakarta Composite

8,700.92

43.74

0.50

KLSE Composite

1,611.00

-3.17

-0.20

Nikkei 225

50,602.8

-52.30

-0.10

Straits Times

4,511.90

-1.34

-0.03

KOSPI Composite

4,135.00

-8.55

-0.21

Taiwan Weighted

28,400.73

218.13

0.77
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