Daily Finance Pulse India – 23 December 2025
Indian equity markets staged a strong year-end rally on December 22, 2025, with the Sensex closing 638 points higher at 85,567.48 and Nifty 50 advancing 206 points to 26,172.40. The rally was driven by foreign fund inflows, expectations of interest-rate cuts in 2026, and a stabilizing rupee. Stock exchanges will be open on December 23, 2025, though trading may be shortened due to the Christmas holiday period. Overall sentiment is bullish as markets position for a strong year-end finish.
1/10
Sensex Rallies 638 Points, Nifty Breaks Three-Week Losing Streak
December 22, 2025 · Indian benchmark indices surged on Monday with the BSE Sensex gaining 638 points (0.77%) to close at 85,567.48 and NSE Nifty 50 rising 206 points (0.79%) to 26,172.40. The market snapped a three-week losing streak amid foreign fund inflows and growing expectations of interest-rate cuts in 2026. About 2,601 shares advanced while 1,363 declined.
Impact: Strong year-end momentum signals potential for further gains as markets position for a Santa rally heading into 2026.
2/10
Foreign Portfolio Investors Turn Net Buyers, Reversing Earlier Selling Pressure
December 22, 2025 · Foreign Portfolio Investors (FPIs) made net purchases of shares worth Rs 1,830 crore on Friday, marking a significant reversal from earlier months when they had exited the Indian market. This shift, combined with domestic institutional investor (DII) purchases of Rs 5,723 crore, is providing fundamental support to the market rally and helping short covering.
Impact: FPI inflows restoration indicates renewed confidence in Indian equities and could sustain the year-end rally through December.
3/10
GST 2.0 Reforms Drive Year-End Resurgence, Nifty 50 Reclaims Emerging Market Crown
December 22, 2025 · India's landmark GST 2.0 implementation in late September 2025 simplified the tax structure into three streamlined slabs (5%, 18%, 40%), significantly lowering the tax burden on mass-consumption goods and boosting corporate margins. This reform, combined with a stabilizing rupee and massive domestic liquidity inflows, has positioned the Nifty 50 and Sensex as top performers among emerging markets as 2025 closes near record highs.
Impact: Structural tax reforms provide fundamental support to valuations and signal a transition from speculative fervor to anchored, growth-driven market dynamics.
4/10
Trent Ltd Emerges as December Rally Champion with Zudio Crossing $1 Billion Revenue Milestone
December 22, 2025 · Trent Ltd, the retail conglomerate, has become a top gainer in the December rally, recovering from mid-year valuation re-rating pressures. The company's value-fashion brand Zudio officially became a $1 billion revenue brand in 2025 and is operating over 800 stores across the country, driving strong earnings growth and investor confidence.
Impact: Trent's strong performance reflects robust domestic consumption recovery and successful retail expansion, supporting broader market gains.
5/10
Bharti Airtel Surges 30% in 2025 on Debt-Free Status Push via Rs 157 Billion Rights Issue
December 22, 2025 · Bharti Airtel has emerged as the undisputed champion of 2025 with a 30% stock surge, fueled by a successful Rs 157 billion rights issue that has brought the telecom giant to the brink of 'net debt-free' status. The company's improved financial position and strong operational performance have made it a key contributor to the market's year-end rally.
Impact: Airtel's balance sheet strengthening and dividend-paying potential position the telecom sector as a core holding for year-end portfolio positioning.
6/10
HDFC Bank Revives Credit Growth Following Festive Season Momentum
December 22, 2025 · HDFC Bank has shown signs of revival in credit growth following strong performance during the festive season, contributing to positive sentiment in the banking sector. The bank's improved loan growth trajectory supports broader financial system health and consumer spending patterns heading into year-end.
Impact: Banking sector strength signals continued domestic demand and supports the valuation case for financial stocks in the year-end rally.
7/10
Asian Markets Rally Following US Tech Recovery, Supporting Indian Equities
December 22, 2025 · Asian markets opened higher on Monday following Friday's gains in US stocks, where technology shares recovered from early volatility to drive positive closes. Japan's Topix rose 0.8%, Australia's ASX 200 gained 0.9%, Hong Kong's Hang Seng rose 0.2%, and Shanghai Composite climbed 0.6%, creating a supportive backdrop for Indian equities.
Impact: Positive global risk appetite and tech sector recovery reduce safe-haven flows and support emerging market risk assets including India.
8/10
US S&P 500 Ends Week Positive on AI Stock Recovery, Nasdaq Up 1.31%
December 22, 2025 · US markets closed sharply higher for the second consecutive session with AI-related stocks leading the rally as risk appetite returned following sharp volatility. The S&P 500 rose 0.88%, the Nasdaq Composite advanced 1.31%, and the Dow Jones Industrial Average gained 0.38%, signaling renewed investor confidence in growth equities.
Impact: US market strength reduces geopolitical risk premiums and supports capital flows to high-growth emerging markets like India.
9/10
Oil Prices Rise on US Interception of Venezuelan Tanker, Supporting Energy Stocks
December 22, 2025 · Oil prices rose during early trading hours in Asia following the US interception of a Venezuelan oil tanker over the weekend. The supply-side tightness provides support for global energy prices and benefits oil-linked Indian stocks heading into year-end.
Impact: Higher crude prices support energy sector valuations and improve margins for downstream energy companies in India.
10/10
SEBI Curbs Derivatives Volatility, Funneling Retail Capital to Long-Term Cash Equities
December 22, 2025 · The Securities and Exchange Board of India (SEBI) introduced new measures in 2025 to curb excessive volatility in the derivatives segment, which has funneled more retail capital into long-term cash equities. This regulatory shift toward a more 'disciplined' market has reduced the 'India Premium' to more sustainable levels, making indices more attractive to value-oriented global funds.
Impact: SEBI's regulatory framework supports sustainable market structure and attracts institutional investors who previously viewed Indian valuations as stretched.