MUMBAI, Dec 23, 2025 – Indian benchmark equities ended largely unchanged on Tuesday, with information technology (IT) stocks pulling back and thin year-end trading volumes limiting overall market movement. Investors are closely watching the upcoming third-quarter earnings season for cues on market direction.

The Nifty 50 (.NSEI) inched up 0.02% to close at 26,177.15 points, while the BSE Sensex (.BSESN) slipped 0.05% to 85,524.84. Among major sectors, nine of the sixteen recorded losses, reflecting a mixed performance. In contrast, the broader small-cap index (.NIFSMCP100) rose 0.4%, while the mid-cap index (.NIFMDCP100) ended flat.

Market analysts note that the indices are consolidating after a recent rally. “The market is consolidating after strong gains in the last two sessions. We are seeing resistance for Nifty 50 around 26,200–26,210 points,” said Nandish Shah, senior derivative analyst at HDFC Securities. Over the previous two sessions, the Nifty 50 and Sensex had gained 1.4% and 1.3%, respectively.

IT Sector Pullback

Information technology stocks (.NIFTYIT) declined 0.8% on Tuesday, following a 3.7% rally in the past four sessions. Gains in IT shares had been supported by a weak Indian rupee near record lows and expectations of a potential U.S. interest rate cut in 2026. Analysts highlight that a rate cut in the U.S., India’s largest export market for IT services, could boost client spending and improve sentiment for the sector.

Individual Stock Highlights

Several individual stocks outperformed despite the mixed market:

• Coal India (COAL.NS) surged 3.7% on reports that its subsidiary, Bharat Coking Coal, plans a $145 million public listing in the coming weeks.
• Shriram Finance (SHMF.NS) rose 2.5%, extending a three-day gain of 10.2% following its $4.4 billion deal with MUFG.
• Ambuja Cements (ABUJ.NS) advanced 1.3% after approving the merger of ACC (ACC.NS) and Orient Cement (ORCE.NS), a move projected to deliver around 10% value accretion for shareholders.
• Canara HSBC Life (CANR.NS) jumped 5.2% after Investec initiated coverage with a “Buy” rating.

Investors are also awaiting the U.S. GDP estimate for the September quarter, expected to show robust 3.3% growth. A strong reading could lift global sentiment, benefiting IT and pharmaceutical stocks that derive significant revenue from the United States.

With thin liquidity and year-end positioning, market watchers expect volatility to remain subdued until major earnings reports provide fresh momentum for equities.