The Economic Times News

Indian stocks opened slightly lower on Friday, with both the Sensex and Nifty struggling for direction. Thin year-end trading volumes saw investors holding back on fresh bets ahead of upcoming earnings cues. Market participants believe future upside will depend on earnings momentum rather than short-term flows.

Tata Group experienced a significant market value erosion in 2025, underperforming rivals like Reliance and Adani. Key drags included sharp losses in Tata Motors Passenger Vehicles and Tata Consultancy Services, despite some bright spots. Investors now await a turnaround in 2026, focusing on earnings visibility and execution.

PSU banks gain MSME and home loan share, but Motilal Oswal backs HDFC Bank, ICICI Bank, SBI and AU Bank as cycle stabilises.

Gold and silver hit record highs as rate-cut hopes, weak dollar and geopolitical risks fuel strong investor demand.

Hindustan Zinc shares surged to a new peak, driven by soaring global silver prices that crossed $75 per ounce. The company, a top global silver producer, is benefiting from robust industrial demand and supply constraints, with silver contributing significantly to its profits and earnings outlook.

FIIs have pulled out heavily from Indian equities in 2025, but brokerages see scope for stabilisation and a gradual reversal. While IPO activity and global return differentials have diverted foreign flows, expectations of Fed rate cuts, improving earnings visibility and normalised valuations could support sentiment. Most brokerages recommend a selective, buy-on-dips strategy heading into 2026.

Despite a challenging 2025 marked by earnings downgrades and FII selling, Indian equities are poised for a turnaround in 2026. Policy support and stabilizing earnings are expected to improve macros, setting the stage for a more constructive market environment. While large caps are anticipated to lead the recovery, mid and small caps also show improving earnings trajectories.

Despite Nifty hitting record highs, Indian portfolios face pressure due to weak market breadth and stock corrections. However, strong macro fundamentals like robust GDP growth and improving earnings visibility position India well for 2026, with key sectors like financials and auto expected to lead.

Defence stocks like BEL, BDL, and HAL rallied up to 3% on Friday ahead of a crucial Defence Acquisition Council (DAC) meeting. The meeting, chaired by Defence Minister Rajnath Singh, is expected to approve emergency procurement proposals, potentially fast-tracking new orders for India's defence sector and boosting domestic production.

Ola Electric Mobility shares are likely to stay in focus after the company secured a Rs 366.78 crore incentive under the PLI-Auto Scheme for FY25. The sanction underscores government support for domestic EV manufacturing, localisation and advanced automotive technology, strengthening Ola Electrics position in Indias electric mobility ecosystem.

Gold and silver have surged to record highs, fueled by investor demand for safe havens and anticipation of U.S. interest rate cuts next year. Platinum and palladium also saw significant gains. Gold's impressive 72% rally in 2025 is attributed to easing monetary policy, geopolitical tensions, and strong central bank buying.

Indian government bonds are poised for gains as the central bank's substantial liquidity infusion boosts investor sentiment. The RBI's move to inject nearly 3 trillion rupees into the banking system is expected to support bond prices and maintain optimal liquidity. This intervention aims to alleviate concerns about rising borrowing costs.

A White Marubozu is a bullish candlestick pattern in technical analysis that forms when the opening price is the lowest and the closing price is the highest for a given period.

As of December 24, five stocks in the NSE F&O segment witnessed a sharp rise in futures open interest, signalling increased derivatives activity. Rising open interest indicates fresh positions or expansion of existing bets, reflecting stronger trader participation and growing conviction on near-term price direction.

IndusInd Bank shares are set to remain in focus after the SFIO sought information as part of an ongoing probe into accounting irregularities flagged during audits. The investigation covers internal derivative trades, misclassified assets and liabilities, and microfinance income entries, following disclosures of discrepancies totalling Rs 2,600 crore.

DCM Shriram Industries shares are in focus as the stock trades ex-demerger following its approved scheme. Shareholders on the record date will receive a 1:1:1 ratio of shares in the residual company, DCM Shriram Fine Chemicals Ltd, and DCM Shriram International Ltd.

An uptrend signal is generated when the RSI crosses above the 50 mark from below.

Silver prices surged to $75 an ounce on Friday. Strong industrial and investment demand fueled the rise. Tightening inventories and geopolitical tensions also played a role. Expectations of U.S. interest rate cuts further supported the upward trend. The precious metal touched an all-time high during the session.