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Indian Stocks Open Soft After Holiday Break as Year-End Rally Stalls

Light year-end trading keeps the market contained near record levels.

Overview

  • The Sensex fell about 0.16% at the open on Dec. 26 to near 85,270 and the Nifty traded around 26,101, reflecting a cautious start to the final sessions of the year.
  • On Dec. 24, the Sensex closed down 116 points at 85,408.70 and the Nifty slipped 35 points to 26,142.10 after a volatile, low-volume session.
  • Foreign portfolio investors were net sellers of Rs 1,721 crore on Dec. 24, while domestic institutional investors bought Rs 2,381 crore, according to provisional NSE data.
  • The Reserve Bank of India will inject liquidity via Rs 2 lakh crore of government bond purchases and a $10 billion buy/sell dollar-rupee swap scheduled from Dec. 29 to Jan. 22.
  • Strategists see consolidation persisting near recent highs with scope for a retest of records in the near term, and several brokerages project a stronger upswing in 2026 contingent on earnings and macro trends.