Markets End Year on a Flat Note - Sensex, Nifty Slip in Thin Trade

Domestic equity markets closed the final trading session of 2025 marginally lower as investors stayed cautious amid thin year-end volumes and the absence of strong immediate triggers. While short-term sentiment remained subdued, the broader market structure continued to reflect a bullish trend , supported by strong annual gains and domestic institutional participation.

The benchmark Sensex opened slightly lower at 84,600.99 and traded in a narrow range through the session. It touched an intraday high of 84,806 points and a low of 84,470 points , before closing 20.46 points lower at 84,675.08 . The Nifty 50 also ended marginally weaker, slipping 3.25 points to settle at 25,938.85 , extending its losing streak to five sessions and remaining below the psychological 26,000 mark .

Market movement remained largely range-bound as low liquidity during the year-end period curtailed fresh buying. Persistent foreign fund outflows continued to weigh on short-term sentiment, resulting in sideways trading despite the absence of aggressive selling pressure.

Stock-specific action dominated the session. Select IT and consumption-related stocks saw selling pressure, while metal stocks outperformed the broader market on sector-specific optimism. Broader indices such as mid-cap and small-cap stocks underperformed, indicating a cautious risk appetite among investors.

On the institutional front, continued selling by foreign investors remained a key overhang. However, domestic institutional investors provided consistent support, absorbing selling pressure and helping the market avoid sharper declines.

From a trend perspective, market experts note that despite the recent consolidation and short-term weakness, the medium- to long-term trend remains bullish . The benchmarks continue to trade well above key support levels, supported by strong fundamentals, steady domestic inflows, and positive expectations around earnings growth.

Global cues were mixed, adding to near-term caution. Weakness in select Asian markets, stable crude oil prices , and the absence of fresh global triggers kept investors on the sidelines. Even so, Indian equity markets ended 2025 with solid annual gains , reinforcing the broader bullish outlook despite temporary consolidation.