Stock markets closed lower for the second straight day on Tuesday (December 9, 2025), with the benchmark Bombay Stock Exchange index, Sensex, declining by 436 points as investors booked profits ahead of the U.S. Federal Reserve’s policy decision.
The 30-share Bomaby Stock Exchange (BSE) index Sensex dropped 436.41 points or 0.51% to close at a nearly two-week low of 84,666.28. During the day, the barometer plunged by 719.73 points or 0.84% to hit an intraday low of 84,382.96 as blue-chip private banks, oil and IT shares retreated.
The 50-share National Stock Exchange (NSE) index Nifty dropped by 120.90 points or 0.47 per% to settle at 25,839.65. In the intraday session, it depreciated by 232.55 points or 0.89% to hit a low of 25,728.
Analysts said persistent foreign fund outflows and weak global cues weighed on the investor sentiment.
Among the Sensex constituents, Asian Paints, Tech Mahindra, HCL Technologies, Tata Steel, Maruti Suzuki India, Sun Pharmaceuticals, Tata Consultancy Services, ICICI Bank, Bajaj Finance, UltraTech Cement, Mahindra and Mahindra and Tata Motors Passenger Vehicles were the laggards.
However, Eternal, Titan, Adani Ports, Bharat Electronics Ltd., State Bank of India, Bajaj Finserv, NTPC and Bharti Airtel were among the gainers.
“Domestic equities opened lower, extending profit booking amid caution ahead of tomorrow’s U.S. Fed policy decision, rupee weakness, persistent FII outflows and ongoing uncertainty over the India-U.S. trade deal. IT stocks led the decline, while Public Sector Undertaking (PSU) banks, realty, and consumer durables gained, with small caps outperforming other indices,” Vinod Nair, head of research, Geojit Investments Ltd, said.
The U.S. Federal Reserve is set to begin its two-day policy meeting later on Tuesday (December 9, 2025), where the Central Bank’s Federal Open Market Committee (FOMC) will decide on key benchmark interest rates for the world’s largest economy.
In Asian markets, Hong Kong’s Hang Seng index, Shanghai Stock Exchange Composite, South Korea’s Composite Stock Price Index (KOSPI) settled lower while Japan’s Nikkei 225 benchmark ended in the green territory.
European markets are trading higher. Wall Street ended lower in overnight deals on Monday (December 8, 2025).
Mr. Nair added that global sentiment was further pressured by surging Japanese bond yields and expectations of the Bank of Japan (BoJ) tightening monetary policy at its upcoming December meeting. While the markets largely anticipate a 25-basis-point rate cut by the Fed and a rate hike by the BoJ, forward guidance for 2026 will be critical.
Meanwhile, Foreign Institutional Investors (FIIs) offloaded equities worth ₹655.59 crore on Monday (December 8, 2025), while Domestic Institutional Investors (DIIs) bought stocks worth ₹2,542.49 crore, according to exchange data.
“In the near term, Central Bank commentary, currency movement, and FII flows will steer sentiment, while domestic macro resilience is expected to provide a cushion against downside risks,” Mr. Nair said.
Brent crude, the global oil benchmark, fell 0.27% to $62.33 per barrel.
On Monday (December 8, 2025), the 30-share BSE index Sensex plunged by 609.68 points to close at 85,102.69. Snapping a two-day gaining streak, the 50-share NSE index Nifty declined by 225.90 points to settle at 25,960.55.
Published – December 09, 2025 05:36 pm IST