The Indian equity markets are set to open lower on Tuesday, December 9, as indicated by GIFT NIFTY futures. NIFTY futures at GIFT City in Ahmedabad fell 101 points to 25,964 amid weak cues from most of the Asian markets.
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The Indian equity benchmarks snapped their two-day winning streak and ended sharply lower on Monday, December 8, on the back of a broad-based selling pressure.
The SENSEX fell as much as 837 points and NIFTY50 index touched an intraday low of 25,892 dragged down by selling pressure in index heavyweights like Bharat Electronics, IndiGo, State Bank of India, Bharti Airtel, Bajaj Finance, Larsen & Toubro, Eternal and Kotak Mahindra Bank.
The SENSEX dropped 610 points to close at 85,103 and NIFTY50 index declined 226 points to close at 25,961.
Here are key things to know before market opens:
Asian markets
Most of the Asian markets were trading lower as traders turned cautious about the pace of easing by the Federal Reserve beyond this week’s expected rate cut.
Hong Kong’s Hang Seng declined 0.84%, Taiwan Weighted declined 0.26%, South Korea’s KOSPI fell 0.68%, China’s Shanghai Composite tumbled 0.12% while Japan’s Nikkei rose 0.22%.
Wall Street update
Wall Street’s main indexes closed lower on Monday, with most S&P 500 industry sectors in the red, while Treasury yields gained as investors waited nervously for the Federal Reserve monetary policy update due in two days, news agency Reuters reported.
S&P500 index declined 0.35%, Dow Jones Industrial Average fell 0.45% and tech heavy Nasdaq dropped 0.14%.
FII/DII activity
Foreign institutional investors sold shares worth ₹656 crore on Monday while domestic institutional investors bought shares worth ₹2,542 crore, data from the National Stock Exchange showed.
The FIIs have so far this month sold shares worth ₹11,837 crore and for the calendar year they have been net sellers to the tune of ₹1,55,512 crore, according to the data from National Securities Depository Limited (NSDL).
Stocks to watch
IndiGo: Shares of InterGlobe Aviation, the parent entity of low-cost carrier IndiGo, will continue to hog the limelight on Tuesday, December 9, as the aviation safety regulator, DGCA, on Monday said it has received IndiGo’s response to the show-cause notice issued over the large-scale flight cancellations. DGCA said it would take enforcement action.
It also said that the airline is “profusely apologetic” and deeply regrets the inconvenience and hardship caused to customers following flight cancellations.
KRBL, LT Foods: Rice stocks may remain in focus, as in the latest pushback against India, United States President Donald Trump has warned that he is ready to consider rice export tariffs on agricultural exports, including Indian rice. Trump’s pushback was a direct response to farmers in the US drafting complaints about cheap foreign goods undercutting local producers.
Mahindra & Mahindra (M&M): Mahindra & Mahindra Ltd., India’s leading SUV manufacturer, on Monday announced the name of its next major offering in the premium SUV segment—the XUV 7XO. Built on the legacy of the XUV700, which disrupted the SUV segment in India with over 300,000 proud owners in just over four years, the XUV 7XO elevates everything that made the XUV700 a game-changer.
Besides, in a separate filing, M&M shared its production, sales, and export figures for November.
ICICI Bank: ICICI Bank, the country’s second-largest private sector lender, is aiming to maintain over a 51% stake in all three of its listed entities, a senior official said on Monday.
Its Executive Director, Sandeep Batra, said the bank is also committed to maintaining over a 51% stake in the IPO-bound ICICI Prudential Asset Management Company, and hence, it is upping its stake by 2 percentage points before the entity hits the markets.
“We are committed to ensuring all three listed entities remain our subsidiaries. So, our stake will remain at over 51%,” Batra told reporters at a press conference here.
The mutual fund arm’s Managing Director and Chief Executive, Nimesh Shah, said that ICICI Bank will pick up the additional 2% stake for the same price as the one that will be paid by other investors as part of its initial public offering.
Larsen & Toubro (L&T): Infrastructure major Larsen & Toubro on Monday announced the transfer of its realty business to its arm L&T Realty Properties Ltd.
The development marks the beginning of a phased consolidation of all real estate assets and undertakings of Larsen & Toubro (L&T).
The approval on the same was given by the board through a slump sale via a scheme of arrangement. However, it is subject to requisite regulatory approvals.
“The Board of Directors of L&T has approved the transfer of its Realty Business Undertaking (Realty BU) to L&T Realty Properties Ltd (L&T Realty), a wholly-owned subsidiary of the company,” the infrastructure major said in a statement.
“L&T Realty needs to perform independently. It has to continuously expand its project pipeline through proactive land bank growth and joint developments.
HCL Technologies: IT company HCLTech on Monday said it has partnered with France-based Dolphin Semiconductor to co-develop energy-efficient chips.
The collaboration is designed to help enterprises address growing demands for energy efficiency and high performance in increasingly complex and connected environments, the Noida-based company said in a statement.
“By partnering with HCLTech, we will be able to extend the reach of our low-power IP to more applications and customers than ever before. This partnership will help us push the boundaries of energy-efficient computing – whether it is for IoT devices or data centre ecosystems,” Pierre-Marie Dell’Accio, executive VP of Engineering at Dolphin Semiconductor, said.
Welspun Corp: Welspun Corp’s associate company, East Pipes Integrated Company for Industry (EPIC), secured an order worth ₹1,165 crore (or 485 million Saudi riyal) from the Saudi Water Authority on Monday, December 8.
EPIC, a listed firm in the Kingdom of Saudi Arabia (KSA), signed the contract for the manufacturing and supply of steel pipes, Welspun Corp said in a regulatory filing.
While the duration of the contract is six months, its financial impact will be reflected in the fourth quarter of the 2025-26 financial year (Q4FY26) and the first quarter of the 2026-27 fiscal year (Q1FY27).
EPIC is Saudi Arabia’s leading manufacturer of Helical Submerged Arc Welded (HSAW) Pipes, it added.
Trade setup
On the technical front, NIFTY50 closed below the 20 SMA support level, pointing towards a bearish momentum setup in the index. However, experts believe a closing above the 20 SMA level of 25,990 on Tuesday could negate the bearish setup, and a closing below it could further intensify it.
On the options data front, the 26,100, 26,200 witnessed heavy open interest addition on Monday, indicating a strong resistance above the 26,000 levels for today’s expiry. While 26,000 puts witnessed heavy unwinding of open interest, indicating further downside for Tuesday’s expiry.
Bullish outlook Traders with bullish sentiment can execute a long call strategy by buying 25,900 calls. The strategy would turn profitable after the index moves above 25,983.
Bearish outlook Traders with a bearish outlook can execute a long put strategy by buying a put strike of 26,000. The strategy would turn profitable after the index moves below the 25,900 level.
Disclaimer: This article is purely for informational purposes and should not be considered investment advice from Upstox. Please consult with a financial advisor before making any investment decisions.
