Pre-Market Report: Indian Markets Set for a Strong Positive Open
Published: 2025-12-11 08:00 IST | Category: Markets | Author: Abhi
Global Market Cues
Global markets displayed a largely positive sentiment, primarily influenced by the US Federal Reserve's latest monetary policy decision.
- US Markets: On Wednesday, December 10, US stock markets closed sharply higher after the Federal Reserve cut its main interest rate by 25 basis points, bringing the target range to 3.5% to 3.75%. This marks the third rate cut this year, and comments from Fed Chair Jerome Powell further fueled hopes for additional reductions in 2026. The S&P 500 climbed 0.7%, the Dow Jones Industrial Average jumped 1% (497 points), and the Nasdaq Composite rose 0.3%.
- European Markets: European indices closed mixed on December 10. The pan-European Stoxx 600 index remained flat, while Germany's DAX declined 0.15% and France's CAC 40 fell 0.35%. In contrast, the UK's FTSE 100 managed a gain of 0.15%.
- Asian Markets: Early trading on Thursday, December 11, saw most Asian markets open higher, taking positive cues from Wall Street. Japan's Nikkei 225 edged marginally up, the Topix rose 0.36%, and South Korea's Kospi gained 0.51%. Hong Kong Hang Seng index futures also indicated a higher opening. China's Shanghai Composite, however, registered a slight decline of 0.18%.
- Crude Oil: Crude oil prices showed an uptick. WTI crude rose 0.06% to $58.87 per barrel on December 11, while Brent crude had gained 0.71% to $62.38 per barrel on December 10. Prices rebounded on Wednesday due to supply concerns, despite earlier reports of excess global supply.
- Gold: Gold prices climbed to $4,242.03 USD per troy ounce on December 11, up 0.39% from the previous day, reacting positively to the Fed's rate cut. Silver also recorded a new all-time high.
- Forex: The US Dollar Index continued its downward trend, slipping to 98.56 on Thursday morning, following a 0.6% decline on Wednesday.
GIFT Nifty and Domestic Cues
The GIFT Nifty is signaling a strong positive start for the Indian benchmark indices today.
- GIFT Nifty: As of early morning on December 11, 2025, GIFT Nifty was trading around 25,966.50, reflecting a bullish sentiment. It was up by approximately 96 to 131 points, or about 0.44% to 0.5%, from the previous Nifty futures settlement, indicating a robust opening for the Indian market.
- RBI Actions: The Reserve Bank of India's (RBI) Monetary Policy Committee (MPC) recently reduced the repo rate by 25 basis points to 5.25% in December 2025, marking the fourth cut this year. Furthermore, the RBI announced Open Market Operations (OMO) to purchase Government of India securities worth ₹1 lakh crore in two tranches, with the first tranche scheduled for today, December 11, 2025. This measure aims to inject durable liquidity into the banking system. The RBI Governor has also urged banks to pass on these rate cuts to customers.
- FII/DII Activity: On December 9, Foreign Institutional Investors (FIIs) were net sellers, offloading equities worth ₹3,760.08 crore. Conversely, Domestic Institutional Investors (DIIs) were net buyers, injecting ₹6,224.89 crore into the market.
Key Stocks in Focus
Given the positive global sentiment and domestic liquidity measures, sectors sensitive to interest rates and economic growth are likely to be in focus.
- Banking and Financial Services: With the RBI's rate cut and liquidity injection, banks and other financial institutions may see increased activity.
- Real Estate: Lower interest rates could stimulate demand in the real estate sector.
- Export-Oriented Sectors: A weakening US dollar might benefit export-oriented companies.
Key Events to Watch Today
- RBI Open Market Operations: The first tranche of the RBI's ₹50,000 crore OMO purchase of government securities is scheduled for today, December 11, 2025.
- International Economic Data: Investors will monitor the UK Consumer Price Index (YoY) and Eurozone ZEW Economic Sentiment data, both scheduled for release today.
TAGS: Pre-Market, Stock Market, Nifty, Sensex, Market Update
Tags: Pre-Market Stock Market Nifty Sensex Market Update