Nifty Continues to Bleed for 3rd straight day.
Even a rebound at Wall Street could not make the light green for Dalal Street.
Benchmark Indices
NIFTY (-46, 25986)
SENSEX (-31, 85107)
BANK NIFTY (+74, 59348)
Blame the massive drubbing on 2-negative catalysts:
1) The sharp drop in India’s manufacturing PMI to a nine-month low (56.6), signalling cooling domestic momentum and softer export demand — adding to the concerns already weighing on sentiment.
2) Rupee Weakness Deepens. The Indian rupee hit a fresh lifetime low of 90.14 per USD. The decline was driven by persistent dollar demand from corporates, importers, and foreign portfolio investors
2) Persistent FII Selling: Year-to-date (YTD), cumulative FII net selling now stands at a substantial ₹1,32,469 crore.
The Good News: The positive takeaway however was that Bank Nifty rebounded from lower levels as the expectations remain elevated for a strong year-end finish for Nifty.
Nifty Private Bank Index (+0.59%) witnessed massive rebound from lower levels as HDFC Bank (+1.08%) and ICICI Bank (+1.38%) led from the front amidst value buying.
Long Story short: Bulls seen praying with knees bended and both hands folded for rate cut from both the RBI and the Fed which may be the spark needed to reignite positive momentum.
Adv-Dec 13—37
INDIA VIX 11.21 (-0.18%)
NIFTY PCR (09th DEC) 0.69
NIFTY PCR (30th DEC) 1.11
USD/INR Futures (DEC) (+0.26%, 90.35)
SECTOR GAINERS:
NIFTY IT (+0.76%)
NIFTY PVT BANKS (+0.57%)
NIFTY MEDIA (+0.25%)
SECTORS LOSERS
NIFTY PSUBANKS (-3.07%)
NIFTY CONSUMER DURABLES (-1.57%)
NIFTY AUTO (-1.20%)
TODAY’S MARKET RE-CAP:
1) Nifty (-0.46%) traded lower for the 3rd straight day. Overbought technical conditions too blamed.
Nifty is still above its 21 DMA (25925), 50 DMA (25596) and its 100 DMA (25240). Nifty’s 200 DMA at 24617 mark.
2) Bank Nifty (+0.13%) inched higher after a volatile trade and snapped its 2-day losing streak.
Bank Nifty’s all-time-high continue to be at 60,114.05 mark.
3) The market breadth (12:38) was in favour of the Bears.
4) Nifty Mid-cap (-0.87%) and Nifty Small-cap (-0.71%) witnnsesd massive profit booking and ended on a jittery note.
5) Meanwhile, New Records Highs as on Wednesday, December 3rd 2025 continue to be at:
26,325.80
Sensex: 86,159.02
Bank Nifty: 60,114.05
STOCKS IN SPOTLIGHT:
1) Angel One slips 5.48% to ₹2,660 after reporting a 16.6% YoY drop in gross client additions — down to 0.50 million in November 2025 from 0.60 million a year earlier. (Source: moneycontrol)
2) Vodafone Idea (+4.34%, 10.57) jumps out of the roof after reports suggest Telecom Minister Jyotiraditya Scindia indicated that the Centre may finalise the company’s AGR relief recommendations soon.
(Source: ndtvprofit)
3) PSU OMCs like IOC (+1.24%), BPCL (-0.08%) and HPCL (+0.22%) aim to flirt above the dotted lines as WTI oil prices ($59 per barrel) continue to fall.
Oil prices are down after industry data showed US crude inventories rose by about 2.5 million barrels. (source: tradingeconomics)
Why OMC Stocks Rise When Petrol & Diesel Prices Fall?
The 4-big positive catalysts for PSU Oil Marketing Companies (OMCs) like IOC, BPCL, and HPCL:
a) Lower Under-Recovery Risk: When global crude prices fall — and retail prices are cut moderately — their under-recoveries reduce or disappear, improving profitability.
b) Marketing Margins Expand: OMCs earn from the spread between global product prices and domestic retail prices. If crude/product prices fall faster than retail prices, net marketing margins increase, boosting earnings.
c) Inventory Gains: OMCs hold large crude inventories.When crude prices fall gradually (not sharply), they may benefit from lower procurement cost for future sales, aiding margins.
d) Improved Cash Flows & Lower Working Capital: Cheaper crude means lower import bills and reduced borrowing needs. This strengthens balance sheets — a positive trigger for the stocks.
4) Nifty IT index (+0.76%) is the biggest outperformer and is trading firmly in positive territory despite a weak broader market.
The sector was showing resilience on the back of two key catalysts:
a) Stronger-than-expected Q2 performance: Multiple IT majors posted robust earnings with solid deal wins, margin improvement, and operational efficiency — keeping sentiment buoyant.
b) Rupee hits 90/$: The steep depreciation of the rupee is a direct earnings tailwind for export-heavy IT companies, as dollar revenues translate into higher rupee realizations.
Wipro (+1.61%, TCS (+1.41%), Infosys (+0.94%) gain as rupee hits fresh record low against US dollars.
5) The Nifty PSU Bank index was down nearly 3.05% to 8,255
The shares of PSU banks dropped after government clarified that it has no plans to raise foreign direct investment (FDI) limit in these lenders from 20 percent to 49 percent.
(SBI (-1.71%), Indian Bank (-5.52%), PNB (-431%), other PSU bank stocks after FinMin clarifies no proposal to hike FDI limit. This falls comes after the stocks recorded sharp gains following earlier reports.
6) Biocon (+2.88%) gained after Biocon Biologics, a subsidiary of Biocon, has inked a settlement agreement with Amgen Inc., paving the way for the global rollout of its Denosumab biosimilars.
The deal enables the company to commercialize Vevzuo and Evfraxy across Europe starting December 2, 2025, while access to the rest of the world also opens up. Other terms of the settlement remain confidential.
7) Emmvee Photovoltaic (+1.98%) stayed in the spotlight, extending its momentum after hitting the upper circuit in yesterday’s trade.
The catalyst: The company posted a stellar Q2 FY26 consolidated net profit of ₹237.86 crore, a jump of nearly 7x (577%) YoY versus ₹35.12 crore last year. On a sequential basis, profit was up 27% QoQ from ₹187.67 crore in Q1 FY26.
BULLS OF THE DAY:
WIPRO (+1.61%)
HINDALCO (+1.46%)
TCS (+1.41%)
ICICIBANK (+1.38%)
HDFCBANK (+1.04%)
BEARS OF THE DAY:
MAXHEALTH (-2.91%)
TATACONSUM (-2.25%)
ADANIENT (-2.14%)
BEL (-2.03%)
SHRIRAMFIN (-1.83%)
OUR VIEW FOR THURSDAY’S TRADE
Technically speaking, confirmation of major strength only above Nifty’s all-time high at 26326. Immediate hurdle at 26200.
All eyes on this week’s RBI MPC Outcome on Friday, December 5th.
ALL ABOUT NIFTY:
Nifty (CMP: 25986)
Support: 25850/25700
Resistance: 26200/26350
Range: 25899-26176
21 DMA: 25925
50 DMA: 25596
200 DMA: 24616
Trend: Neutral
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BULLISH LOOKING STOCKS:
ASHOKLEY
BIOCON
IEX
BULLISH LOOKING STOCKS (LONG TERM):
CHOLAFIN
BELRISE
DREDGING
BEARISH LOOKING STOCKS:
BDL
ADANIENT
HDFCAMC
STOCKS TO AVOID:
INDIGO
RECLTD
RELIANCE
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