Stock Market Today: Sensex at 85,325, Nifty 50 Near 26,088

Early movements indicate consolidation, with participants watching domestic and global cues closely

The Indian stock market trades with a cautious tone today as the new trading session begins on December 2, 2025. After a strong rally at the start of the week, the mood turns more careful, and both benchmark indices open lower. Early movements indicate consolidation, with participants watching domestic and global cues closely.

Benchmark Indices Open Lower

The BSE Sensex starts the session around 85,325.50, showing a decline of nearly 0.37%. The NSE Nifty 50 also opens weak at about 26,088, slipping around 0.34% from the previous day’s close. Nifty Bank follows the same trend and begins on a soft note, signalling pressure on financial stocks.

The broader market tone also reflects caution. Mid-cap and small-cap indices do not show major strength in early trade and move mostly in a narrow range. Investors appear selective, choosing to focus only on stocks with strong fundamentals or fresh news triggers.

Markets Pull Back After Strong Gains Yesterday

The weak start today follows a highly volatile session on December 1. Yesterday, both Sensex and Nifty touched fresh all-time highs during the day. Nifty jumped to 26,325.80 and Sensex climbed to 86,159.02, driven by strong positive sentiment after the release of encouraging economic data.

However, the optimism did not last for the full session. Profit-booking emerged, especially in pharma and financial stocks, and the indices gave up their gains. By the end of the day, markets closed slightly lower despite the new highs. The reversal created hesitation among traders, and this cautious mood continues today.

Economic Growth Boosts Long-Term Sentiment

The major trigger for yesterday’s rally was the country’s impressive economic performance. India reports 8.2% GDP growth in the second quarter, which is higher than market expectations. This strong growth number reinforces confidence in the economy and supports the belief that India continues to be one of the fastest-growing major economies globally.

This data strengthens medium-term market sentiment, as strong GDP growth typically leads to better corporate earnings, higher investment flows, and increased appetite for equities. Even though markets remain volatile today, the underlying economic picture provides long-term support.

Today’s Market Mood and Key Levels

Despite the positive macro backdrop, today’s market tone is subdued. Early indicators such as GIFT Nifty signal a flat-to-negative opening, and this is exactly how the market behaves in the morning. Traders prefer waiting for fresh triggers before taking big positions.

Nifty trades near important support zones around 26,150 and 26,000, while the next major resistance remains close to 26,300. These zones may guide market direction during the day. If global markets remain calm and domestic flows stay steady, Nifty may attempt to reclaim higher levels. However, any weakness in global cues could increase selling pressure.

Sectors in Focus During the Session

The financial sector faces pressure today as profit-booking continues after last week’s strong gains. Major banks and financial institutions trade mostly in the red, pulling down the benchmarks. This sector had led the rally earlier, but is now experiencing a short-term correction.

On the positive side, auto and IT stocks show relatively steady behaviour. These sectors supported the market yesterday and may continue to attract interest today due to improved earnings outlook and stable global demand for services.

Defence-related stocks also stay in focus after large order announcements earlier in the week. Select stocks in this segment may see strong activity through the session.

Global Cues Remain Mixed

Global markets offer mixed signals today. Asian markets show a blend of gains and losses, and US market cues from the previous night are neutral. There is no strong global direction, and this contributes to the range-bound movement in Indian markets.

Currency movements also add an element of caution. Any sudden weakness in the rupee has the potential to influence foreign investor flows and can create short-term volatility in equities.

Medium-Term View Remains Positive Despite Today’s Volatility
Even though today’s market shows hesitation, leading research firms maintain a constructive medium-term outlook. Forecasts suggest that the Nifty 50 index may climb further in 2026, supported by strong economic growth, structural reforms, and a steady improvement in corporate earnings.

However, analysts continue to highlight important risks. Valuations of many stocks remain elevated, which can limit near-term upside. Global economic uncertainties, especially around future interest-rate decisions by major central banks, may also create unpredictable movements in financial markets. Because of these factors, experts recommend a selective approach rather than broad-based buying.

Overall Market Picture Today

Overall, the Indian stock market trades with mild weakness and cautious sentiment in the first half of the session. The euphoria from yesterday’s strong economic data gets replaced by a more measured approach as traders wait for the next set of triggers.

The strong GDP number, healthy long-term outlook, and stable earnings prospects support the broader market. However, immediate concerns such as global cues, high valuations, and profit-booking keep the indices in a narrow range.

As the session continues, the market may pick up direction based on sector-specific performance, foreign investor trends, and afternoon global market openings. For now, the trading pattern reflects consolidation rather than aggressive buying or selling.