On the 30-share Sensex, shares of Adani Ports, Power Grid, HCL Technologies, Trent and Bharat Electronics led declines, down between 1% and 2%.Energy stocks fell 0.5%, pressured by a 0.9% decline in Reliance Industries, while the IT index fell 0.8%.
The broader market also weakened, with mid-cap stocks down 0.5% and small-caps down 0.7%.
Expert views
The market appears to be short of catalysts for further upside, with investors largely in holiday mode, signaling a potential near-term consolidation phase, said Vinod Nair, head of research at Geojit Investments. He adds that while the outlook for 2026 remains constructive, attention is expected to shift to upcoming Q3 earnings and clarity on the US trade deal.
“In an environment of global trade fears and a weakening rupee, investors are likely to prefer large-cap stocks for their relative safety and better visibility of earnings,” Nair said.
Global markets
Global stock markets were set to end 2025 at record levels on Monday, while the dollar hovered around a three-month low as investors priced in further interest rate cuts by the Federal Reserve next year. MSCI’s global stock index was little changed in early European trading, rising almost 21% this year after Wall Street posted a new record on Friday and European shares hit an intraday high on Monday.
Markets also digested comments from US President Donald Trump that talks with Ukrainian President Volodymyr Zelenskiy came “a lot closer” to an agreement to end the war in Ukraine.
In commodities, three-month copper prices on the London Metal Exchange rose 3.3% to $12,560 a tonne after hitting a record $12,960 earlier in the session.
Asian shares started the last week of the year on a strong footing. MSCI’s Asia-Pacific index rose 0.4%, extending a year marked by double-digit gains in most regional markets as investors focused on artificial intelligence themes and largely shrugged off trade tariff concerns. South Korea’s Kospi climbed 2.2%, on track for its strongest annual performance since 1999.
Rough impact
Oil prices rose on Monday as investors assessed diplomatic efforts to end the war in Ukraine alongside ongoing tensions in the Middle East that could threaten global supply.
Brent crude rose 67 cents, or 1.1%, to $61.31 a barrel by 0751 GMT, while U.S. West Texas Intermediate rose 65 cents, or 1.15%, to $57.39.
Rupee vs dollar
The Indian rupee weakened for a third straight session on Monday to end at 89.9750 against the US dollar, down from 89.85 on Friday, after opening at 89.88 and sliding steadily through the session, pressured by demand for corporate dollars through private banks and bids around the central bank’s reference rate, traders said.
Broader Asian cues offered little support, with most regional currencies weakening and the dollar index strengthening to 98.05.
(with input from agencies)
#Market #reversal #Sensex #falls #points #Nifty #falls #yearend #lull #drags #DSt