SGX Nifty December 2025 futures declined by 14.50 points, suggesting a bearish start for the Nifty 50 today.
Institutional Flows:
On 10 December 2025, provisional data indicated that foreign portfolio investors (FPIs) divested shares amounting to Rs 1,651.06 crore, whereas domestic institutional investors (DIIs) recorded net purchases totaling Rs 3,752.31 crore in the Indian equity market.
Foreign Institutional Investors (FIIs) have divested shares totaling Rs 14,859.10 crore thus far in December. This reflects their cash sales of Rs 17,500.31 crore in November and Rs 2,346.89 crore in October.
Global Markets:
Most Asian markets showed positive movement on Thursday, influenced by Wall Street’s favorable response to the Federal Reserve’s third rate cut of the year. In the U.S. overnight, the Dow Jones Industrial Average increased by 1.1% following the Fed decision, the S&P 500 rose by 0.7%, and the Nasdaq Composite saw a modest gain of 0.3%.
The Federal Reserve has reduced the Federal Funds rate by 25 basis points, bringing it to a range of 3.5%-3.75%, and suggested that this may be the final reduction for the foreseeable future. During his press briefing, Chair Jerome Powell stated that the recent action positions the central bank in a favorable stance regarding policy.
In conjunction with the rate decision, the Fed announced its intention to recommence the acquisition of $40 billion in Treasury bills starting Friday, which is expected to exert downward pressure on short-term yields. The policy statement subtly recognized a weakening labor market, removing the previous mention that conditions “remained low,” indicating a shift in the Fed’s focus towards fostering growth rather than combating inflation.
Following the market close, Oracle experienced an 11% decline as disappointing quarterly revenue and an elevated spending forecast unsettled investors. The selling pressure extended to other AI-related stocks in after-hours trading, with Nvidia declining by 1% and CoreWeave experiencing a drop of over 3%.
Domestic Market:
The domestic equity benchmarks experienced a decline for the third consecutive session on Wednesday, 10 December 2025, concluding with slight losses following a day characterized by volatility in trading. Indices fluctuated between positive and negative territory as investors realized profits in anticipation of the U.S. Federal Reserve’s policy announcement. The Nifty ended the day under the 25,800 threshold, influenced by declines in consumer durables, IT, and financial services sectors.
Global sentiment exhibited fragility as increasing Japanese bond yields and signs of possible BOJ tightening prompted risk-off behavior throughout emerging markets. The attention now turns to the upcoming U.S. Fed meeting, where a 25-bps rate cut is anticipated. However, the presence of mixed economic signals could temper expectations for more aggressive easing in 2026.
The Indian market reflected this caution, impacted by ongoing FII outflows, a depreciating rupee, and ambiguity regarding U.S.-India trade discussions. The S&P BSE Sensex experienced a decrease of 275.01 points, reflecting a decline of 0.32%, closing at 84,391.27. The Nifty 50 index experienced a decline of 81.65 points, representing a decrease of 0.32%, closing at 25,758. Over the course of three trading sessions, the Nifty and Sensex experienced declines of 1.54% and 1.63%, respectively.