15 December 2025 Punjab Khabarnama Bureau : Indian equity benchmarks ended the trading session in the red as benchmark indices Sensex and Nifty witnessed a sharp decline, weighed down by weak global cues, profit booking, and cautious investor sentiment. The Sensex fell around 300 points, while the Nifty slipped below the crucial 25,950 mark, reflecting broader market nervousness.
The downturn came amid mixed signals from global markets, where concerns over inflation, interest rate outlooks, and geopolitical developments continued to influence investor decisions. Asian markets traded lower, while overnight cues from Wall Street also remained subdued, setting a negative tone for domestic equities.
Market Performance Overview
The BSE Sensex opened on a weak note and extended losses through the day, oscillating between gains and losses before settling nearly 300 points lower. Meanwhile, the NSE Nifty50 breached key support levels, ending below 25,950, raising concerns about near-term market direction.
Broader markets also mirrored the weakness. The Nifty Midcap and Smallcap indices declined, indicating selling pressure beyond frontline stocks. Market breadth remained negative, with declining stocks outnumbering advancing ones on both major exchanges.
Key Reasons Behind Market Decline
1. Weak Global Cues
Global markets remained under pressure as investors digested mixed economic data from major economies. Persistent concerns over sticky inflation and the possibility of prolonged higher interest rates dampened risk appetite worldwide.
2. Profit Booking at Higher Levels
After recent rallies that pushed indices close to record highs, investors appeared to book profits, particularly in banking, IT, and FMCG stocks. Analysts believe the market was due for a consolidation phase.
3. FII Selling Pressure
Foreign Institutional Investors (FIIs) were seen reducing exposure amid global uncertainty. Persistent outflows from foreign investors added to the downward pressure on benchmark indices.
4. Cautious Sentiment Ahead of Key Events
Investors remained cautious ahead of upcoming global economic data, central bank commentary, and domestic macroeconomic indicators. This wait-and-watch approach limited fresh buying.
Sectoral Performance
- Banking and Financials: Bank stocks were among the top losers, with heavyweight private lenders dragging the indices lower. PSU banks also witnessed mild selling pressure.
- IT Stocks: Information technology shares declined as global tech sentiment weakened, driven by concerns over slower growth in key overseas markets.
- FMCG: Select FMCG stocks corrected after recent gains, impacted by valuation concerns and profit booking.
- Metals: Metal stocks traded mixed, tracking volatile global commodity prices.
- Pharma: Pharmaceutical stocks offered some support, with selective buying seen in defensive names amid market volatility.
Stock-Specific Action
Several index heavyweights contributed to the market decline, while a handful of defensive and stock-specific plays managed to stay afloat. Shares of companies with strong quarterly outlooks or sector-specific tailwinds outperformed the broader market.
However, selling pressure remained visible in stocks that had rallied sharply in recent sessions, reflecting investor caution and risk aversion.
Technical View
From a technical perspective, analysts noted that Nifty slipping below 25,950 is a short-term negative signal. Immediate support for the index is seen around the 25,850–25,800 zone, while resistance lies near 26,050–26,100 levels.
For the Sensex, the 77,000–76,800 range is expected to act as a crucial support zone. A sustained breach below these levels could trigger further downside, while a rebound above resistance may restore bullish momentum.
Market Outlook
Experts believe that the market is currently in a consolidation phase, driven by global uncertainty and valuation concerns. While long-term fundamentals remain intact, short-term volatility may persist.
Market participants are advised to remain selective and focus on fundamentally strong stocks with solid earnings visibility. Defensive sectors may continue to see interest if global uncertainty deepens.
Investor Strategy
Analysts recommend:
- Avoiding aggressive buying at elevated levels
- Accumulating quality stocks on dips
- Maintaining adequate cash positions
- Keeping an eye on global developments and institutional flows
Despite the day’s decline, market experts stress that corrections are healthy and provide opportunities for long-term investors.
Conclusion
The decline in Sensex and Nifty reflects a combination of weak global cues, profit booking, and cautious sentiment among investors. While near-term volatility may continue, the broader market outlook remains balanced, supported by domestic growth prospects and earnings expectations. Investors are advised to stay vigilant and adopt a disciplined investment approach in the current environment.
Summary
Indian markets ended lower as Sensex fell 300 points and Nifty slipped below 25,950, dragged by weak global cues, profit booking, and cautious investor sentiment amid ongoing uncertainty.