Indian equity markets closed in the red on December 9, 2025, with a distinctly cautious and bearish undertone as investors remained on edge ahead of the US Federal Reserve’s policy decision. Weakness in IT heavyweights, renewed US tariff concerns, and profit booking in banking stocks, and muted global cues dominated sentiment. Gold and silver provided the only bright spots.

  • Sensex shed 436 points, Nifty slipped below 25,850 on Fed uncertainty
  • IT index fell 2.1% on fears of hawkish Fed tone and delayed rate-cut cycle
  • India-US bilateral trade talks resumed amid looming tariff threats
  • Gold rose ₹800/10g, silver crossed ₹96,000/kg as safe-haven buying intensified
  • Temasek reaffirmed its commitment to significantly scale up its India investments

Markets brace for another cautious start on December 09, 2025, following a sharp sell-off, with focus on Fed anxiety and domestic volatility.

Key Themes & Picks

  • GIFT Nifty points to a gap-down opening after Monday's steep correction.

  • Volatility spikes in mid/small-caps; banking under regulatory scrutiny.

  • Infrastructure and select IT stocks show relative resilience.

  • Calls: Buy Latent View (IT), Buy KNR Constructions (Infra).

  • Bearish view persists on State Bank of India (Sell).

The Indian markets exhibited bearish sentiment on December 08, 2025, with sharp declines in major indices driven by profit booking, persistent FII outflows, and rupee depreciation near record lows. Global cues, including anxiety over the upcoming US Federal Reserve decision, added to the volatility, overshadowing recent RBI rate cut benefits. Overarching themes focused on market corrections, corporate mergers, and sector-specific pressures amid broader economic uncertainties.

  • Sensex and Nifty post worst day in months on FII selling.
  • Investor wealth erodes by over ₹7 lakh crore in single session.
  • IndiGo shares crash amid operational disruptions and market caution.
  • US stocks dip ahead of anticipated Fed rate decision.
  • Trump announces $12 billion aid for disrupted US farmers.