Markets opened marginally higher on Wednesday, the final trading session of 2025, with the BSE Sensex rising 67.51 points or 0.08 per cent to ₹84,742.59 at 10.05 AM IST, while the NSE Nifty gained 37.45 points or 0.14 per cent to ₹25,976.30. The Sensex had closed at ₹84,675.08 in the previous session and opened at ₹84,793.58, while Nifty closed at ₹25,938.85 and opened at ₹25,971.05.
“Indian equity markets are set to conclude 2025 on a subdued note in the final trading session, as extremely thin year-end liquidity, global holiday closures, and continued FII caution limit meaningful participation,” said Ponmudi R, CEO of Enrich Money, a SEBI registered online trading and wealth tech firm. “With most global markets either shut or operating in shortened sessions for New Year’s Eve, intraday volatility is expected to remain compressed.”
Metal stocks emerged as top gainers with JSW Steel surging 4.70 per cent to ₹1,163.90, followed by Tata Steel up 1.66 per cent at ₹178.72. Titan Company gained 1.51 per cent to ₹4,034.20, while Power Grid rose 1.17 per cent to ₹263.40 and NTPC advanced 1.14 per cent to ₹328.60.
On the losing side, IndiGo declined 0.78 per cent to ₹4,979.00, Bajaj Finance fell 0.69 per cent to ₹982.50, TCS dropped 0.67 per cent to ₹3,224.90, Bajaj Finserv lost 0.60 per cent to ₹2,014.20, and Wipro slipped 0.56 per cent to ₹262.18.
“The market has the potential for a directional move upwards but is being weighed down by sustained FII selling and absence of fresh triggers like positive news on the US-India trade front,” said Dr. VK Vijayakumar, Chief Investment Strategist at Geojit Investments Limited. “The coming days are going to be eventful, starting with the auto sales data for December, Q3 corporate results, expectations from the budget and other news relating to global economy.”
Technical analysts highlighted that Nifty 50 remains in a consolidation phase. “Nifty index continues to remain trapped within a broader consolidation zone, characterised by muted volumes and the absence of strong directional conviction,” said Dhupesh Dhameja, Derivatives Research Analyst at SAMCO Securities. “The index needs to decisively reclaim levels above 26,200 for any meaningful revival in bullish sentiment.”
Bank Nifty displayed relative resilience, staging a recovery from lower levels. “Nifty Bank wrapped up its monthly expiry on a subdued note, posting a negative close after three consecutive months of gains,” Dhameja added. “The index continues to remain locked within a wider consolidation band, marked by subdued volumes and the absence of clear directional conviction.”
“After a weak start, Nifty staged a strong comeback to end December at a fresh all-time high of 26,325.80, closing the year with a solid gain of 9.7 per cent,” said Prashanth Tapse, Senior VP (Research) at Mehta Equities Ltd. “Santa-rally optimism remains intact on Dalal Street, aided by hopes of a US Fed rate cut and year-end window dressing, setting a constructive tone for 2026.”
In the commodities market, gold prices witnessed sharp volatility. “Gold and silver prices rebounded strongly from intraday lows as rising geopolitical tensions boosted safe-haven demand,” said Rahul Kalantri, VP Commodities at Mehta Equities Ltd. “However, gains were capped after the Federal Reserve’s policy meeting minutes reduced expectations of aggressive rate cuts next year.”
US markets closed marginally lower on Tuesday amid choppy trading. “Minutes from the Federal Reserve’s December meeting revealed a deeply nuanced debate preceded the decision to cut interest rates,” said Devarsh Vakil, Head of Prime Research at HDFC Securities. “Even some policymakers who voted for the rate reduction acknowledged the decision was finely balanced.”
“Earnings growth will be the single most important factor determining the market trend in 2026,” Dr. Vijayakumar emphasized. “The FII flows in 2026, too, will depend on the earnings performance and expectations surrounding that.”