Nifty Slips Further on December 26 as Financials Weigh Heavily; Broader Market Shows Selective Strength

Indian equity markets extended losses in afternoon trade on Thursday, December 26, 2025, with benchmark indices slipping deeper into the red amid sustained pressure on banking and financial stocks. Despite the weakness in frontline indices, selective mid-cap and PSU stocks continued to attract strong buying interest, reflecting a cautious yet stock-specific market sentiment.

Also Read: Nifty Ends Lower on December 26 as Financials Drag; Select Midcaps Rally on Heavy Volumes

Benchmark Indices: Financials Drag Markets Lower

The Nifty 50 closed at 26,042.25, declining 99.85 points (-0.38%). The index opened at 26,121.25, touched an intraday high of 26,144.20, and slipped to a low of 26,030.85, indicating persistent selling pressure through the session.

Among sectoral indices, Nifty Financial Services witnessed sharper losses, falling 146.75 points (-0.53%) to 27,418.75, while the Nifty Bank index declined 160.75 points (-0.27%) to 59,022.85. In contrast, Nifty Next 50 outperformed the benchmarks, rising 95.30 points (+0.14%) to 69,052.55, highlighting resilience in broader market segments.

Top Gainers: Strong Momentum in Select Midcaps and PSUs

Despite overall market weakness, several stocks posted robust gains on healthy volumes:

• Prakash Steelage (PRAKASHSTL) surged 19.90% to ₹5.00, emerging as the top gainer of the session.

• 20 Microns rallied 15.59% to ₹228.69, supported by strong volumes and value buying.

• Panacea Biotec advanced 13.66% to ₹408.20, with heavy turnover reflecting sustained investor interest.

• Cubex Tubings gained 12.91% to ₹106.79, indicating renewed buying momentum.

• RVNL rose 11.31% to ₹384.80, recording exceptionally high volumes of over 829 lakh shares, underlining continued optimism around infrastructure and railway-related stocks.

Top Losers: Sharp Selling in Select Counters

On the downside, several stocks witnessed notable corrections:

• TPHQ fell 9.41% to ₹0.77, remaining under selling pressure.

• PKTEA declined 7.10% to ₹855.00, marking one of the steepest losses of the day.

• Creative Eye slipped 6.99% to ₹7.19, reflecting weak investor sentiment.

• Dolphin Offshore dropped 6.75% to ₹410.00.

• Stylam Industries fell 6.61% to ₹2,148.50, as profit booking emerged at higher levels.

Market Outlook: Volatility Likely to Persist

Market participants remained cautious as selling pressure in heavyweight financial stocks overshadowed gains in broader market pockets. Analysts expect continued volatility in the near term, with investors likely to focus on fundamentally strong stocks, PSU plays, and infrastructure-linked opportunities while avoiding aggressive positions ahead of year-end.

Conclusion: December 26

The December 26 session highlighted a divergent market trend, where benchmark indices weakened due to sustained pressure in banking and financial stocks, even as select mid-cap and PSU counters delivered strong gains on heavy volumes. Going forward, market direction is expected to remain stock-specific, with selective buying amid broader caution.