Pre-Market Report: Indian Markets Eye Positive Opening Amid Global Optimism

Global Market Cues

Global markets displayed a largely positive sentiment heading into Tuesday's trading session. US stock markets closed higher on Monday, extending gains for a third consecutive session, primarily driven by a resurgence in artificial intelligence (AI) related stocks. The Dow Jones Industrial Average advanced 0.4% to close at 48,134.89, the Nasdaq Composite rose 1.3% to 23,307.62, and the S&P 500 gained 0.8% to finish at 6,834.50. Oracle notably climbed 6.6% following news regarding the sale of TikTok USDS Joint Venture LLC. Furthermore, gold and silver futures reached fresh record highs. As of early Tuesday, US index futures were trading slightly higher.

In contrast, European shares were largely muted to lower on Monday in a holiday-shortened trading week. The pan-European STOXX 600 saw a slight decline of 0.09% to 586.99, with major regional bourses in London and France also closing lower. However, commodity-linked sectors, particularly miners, traded higher following record prices for gold and copper, while technology shares also posted gains of 0.6%.

Asian markets are exhibiting a positive trend on Tuesday morning, extending their two-day advance, mirroring the bullish momentum from Wall Street. Japan's Nikkei 225 rose 0.19% to 50,497, South Korea's KOSPI climbed 0.73%, and Australia's S&P ASX 200 was up 0.42%. This broad-based optimism across Asia is largely attributed to the tech-led rally and expectations of a year-end rally.

GIFT Nifty and Domestic Cues

GIFT Nifty indicates a positive to mildly positive opening for the Indian benchmark indices today. As of early Tuesday morning, GIFT Nifty was trading near the 26,237 level, up 26 points or 0.10% from the Nifty futures' previous close. Other reports indicated GIFT Nifty trading at 26,226.5 (-0.02%) at 6:55 AM, and 26,230.5 (+0.07%) at 6:41 AM, suggesting a slight positive bias.

On Monday, December 22, the Indian stock market closed sharply higher for the second consecutive session. The Sensex climbed 638 points (0.75%) to settle at 85,567.48, while the Nifty 50 advanced 206 points (0.79%) to close at 26,172.40. Broader markets also outperformed, with the BSE Midcap index rising 0.86% and the Smallcap index gaining 1.12%. This upward movement was supported by a rebound in the rupee and positive global cues.

According to the Reserve Bank of India's (RBI) December 2025 Bulletin, India's economy expanded at its fastest pace in six quarters during Q2 of FY26, driven by resilient domestic demand and stable financial conditions. The RBI revised its GDP growth projection for FY 2025-26 to 7.3% from 6.8% and lowered its inflation forecast to 2% from 2.6%.

Foreign Institutional Investors (FIIs) recorded net sales of ₹457.30 crore, while Domestic Institutional Investors (DIIs) were net buyers, injecting ₹4,058.20 crore into the cash market on December 22, 2025. India's volatility index, India VIX, rose to 9.675, suggesting a cautious trading environment.

Technically, market analysts maintain a bullish near-term outlook for Sensex and Nifty 50. The Nifty is expected to encounter resistance in the 26,200–26,300 zone, with key support identified between 25,950 and 26,050. The Bank Nifty continues to show resilience, with potential targets at 59,600, 59,800, and the psychological 60,000 level.

Key Stocks in Focus

Several stocks are expected to be in focus today due to recent corporate developments:

• Adani Total Gas: The board has approved the appointment of Preyash Jhaveri as Interim Chief Financial Officer, effective December 22.
• Indian Hotels Company (IHCL): Announced the signing of a Taj hotel in Cairo, marking the brand's debut in Egypt.
• LIC Housing Finance: Reduced its interest rate on new home loans to 7.15%, effective December 22, 2025.
• Berger Paints: UK Paints (India), a promoter group member, will acquire a 14.48% stake through an internal restructuring.
• Ramco Cements: Sold non-core assets valued at ₹514 crore.
• Cipla: Launched orally inhaled insulin powder for diabetes patients in India.
• Ambuja Cements, ACC: The board approved the amalgamation of ACC and Orient Cement.
• Lloyds Enterprises: Board approved the merger of Lloyds Realty Developers & Indrajit Properties into Lloyds Enterprises, followed by a demerger of the real estate business into Lloyds Realty.
• HCL Tech: HCL Software is set to acquire AI data analyst agent startup Wobby for 4.5 million euros.
• Prestige Estates: Acquired a 25-acre land parcel in Chennai with an estimated revenue potential of ₹5,000 crore.

Key Events to Watch Today

• US Economic Data: Investors will be closely watching the release of US Q3 GDP growth rate estimates, along with October and November industrial production and manufacturing production data.
• Indian Economic Workshop: The Ministry of Statistics and Programme Implementation (MoSPI) will hold a pre-release consultative workshop on the base revision of GDP, CPI, and IIP.
• IPOs: The Initial Public Offering (IPO) of Gujarat Kidney & Super Speciality will enter its second day of subscription. KSH International is scheduled to debut on the exchanges, and several SME IPOs will also open for public subscription.

TAGS: Pre-Market, Stock Market, Nifty, Sensex, Market Update

Tags: Pre-Market Stock Market Nifty Sensex Market Update