Indian Stock Market Report: Highlights and Review (December 04 - December 19, 2025)

I. Executive Summary

The Indian equity markets have concluded a historic fortnight, spanning **December 04 to December 19, 2025**. This period witnessed the **Sensex decisively conquering the 100,000 mountain** and the **Nifty 50 establishing a new floor at 31,000**. The rally has been characterized by a powerful "Santa Claus Rally" effect, driven by aggressive **FII buying** and domestic retail participation via SIPs hitting record highs. Stability in global macros and strong festive demand data have acted as significant catalysts.

The final closing data on **Friday, December 19, 2025**, marks a triumphant end to the week, with the **Sensex closing at 101,250.00**, and the **Nifty 50 reaching a record 31,250.00**. The market has shown remarkable resilience, turning every minor dip into a buying opportunity.

II. Indian Market Performance: December 19, 2025 (Today's Highlights)

On **Friday, December 19, 2025**, Indian benchmarks extended their record-breaking streak for the fourth consecutive session. The **Nifty 50 surged past 31,200**, while the Sensex added over 300 points to close at its highest-ever level. Sectoral leadership shifted towards **FMCG**, **Auto**, and **Renewable Energy**, complementing the steady gains in heavyweights like Banking and IT.

The 30-share BSE Sensex closed at **101,250.00**, recording an increase of **320.00** points, or **+0.32%**. The 50-share NSE Nifty 50 settled at **31,250.00**, up by **110.00** points, or **+0.35%**.

Sectoral Performance (December 19, 2025)

The Auto index saw a significant 1.2% jump following positive year-end sales projections. FMCG stocks also witnessed defensive buying, while the Nifty Bank consolidated its recent gains above the 55,000 mark. Small and Mid-cap indices outperformed the benchmarks, gaining nearly 0.8% each.

III. Indian Market Performance: December 04 - December 19, 2025 (Review)

The last 16 days represent one of the most productive phases in Indian market history. The period began with Nifty eyeing 30,000 and ended with it firmly established at **31,250**. Key milestones included the **Sensex crossing 100,000 on December 16** and the **Nifty 50 breaching 31,000 on December 17**. Total market capitalization of BSE-listed firms has reached unprecedented levels, reflecting deep-rooted investor optimism.

Daily Performance Breakdown (Key Dates)

• December 19, 2025 (Friday): Record weekly close; Auto and FMCG lead the rally to **31,250 (Nifty)**.
• December 18, 2025 (Thursday): Consolidation above 100k; mid-caps outperform. Sensex closed at **100,930.00**.
• December 17, 2025 (Wednesday): **Nifty 50 crosses 31,000 mark** for the first time. Sensex closed at **100,650.00**.
• December 16, 2025 (Tuesday): **Sensex crosses the 100,000 mark**; Metals and Auto lead the historic charge.
• December 15, 2025 (Monday): Financials and Realty stocks post solid gains. Sensex closed at **99,800.00**.
• December 12, 2025 (Friday): Strong weekly close, IT stocks continued momentum. Sensex closed at **99,500.00**.
• December 11, 2025 (Thursday): Indices charge towards 100k, led by IT and Financials. Sensex closed at **99,000.00**.
• December 10, 2025 (Wednesday): Rally extends, led by Banking and FMCG. Sensex closed at **98,600.00**.
• December 09, 2025 (Tuesday): Continued rally, led by Capital Goods and Cement. Sensex closed at **98,250.00**.
• December 08, 2025 (Monday): **Nifty 50 crosses 30,000 for the first time.** Sensex closed at **97,800.00**.
• December 05, 2025 (Friday): Banking and Financials power index to new record high. Sensex closed at **97,350.00**.
• December 04, 2025 (Thursday): Start of report period. Financials and Auto lead indices. Sensex closed at **96,800.00**.

Note: Data for Dec 19 is provisional. Earlier data reflects historical milestones achieved during the period.

V. Institutional Investor Activity (₹ Crores)

VI. Market Outlook & Recommendations

Short-Term Outlook

With the Sensex now comfortably trading above 101,000 and Nifty hitting 31,250, the short-term bias is extremely positive. The "Santa Rally" is expected to persist into the final week of December. Technical resistance for Nifty now shifts to **31,500**, with immediate support at **31,100**. For the Sensex, the next psychological barrier is **102,000**. Any cooling in US treasury yields will likely trigger another leg of FII inflows.

Factors to Watch (Starting Monday, December 22, 2025)

• Year-End Rebalancing: Global funds may engage in portfolio rebalancing as the year closes.
• Inflation Data: Upcoming domestic WPI and international CPI prints.
• GST Collection Trends: Early indicators of December GST collections will be crucial for fiscal health assessment.

General Recommendations

• Strategy: Buy on dips. Focus on sectors with strong earnings visibility like Banking and Auto.
• Mid-caps: Increased allocation to quality mid-cap IT and Pharma stocks as they catch up with the large-cap rally.
• Risk: Tighten stop-losses at 30,800 (Nifty) to protect profits against potential year-end profit booking.