Stock Market
Nifty Outlook: Nifty rises after three days of weakness, how will it move on December 12? Know from expert – nifty outlook expert view after sharp rebound the index will hold 25700 support and cross 26000 on december 12
Nifty Outlook: After three days of continuous weakness, the market showed a strong recovery on Thursday. Due to buying at lower levels, Nifty closed around 25,900. About 40 stocks included in the index remained in the green. The market opened strong in the morning, then slipped a bit, but strong buying from the support of 25,700 changed the entire atmosphere.
How was the day’s movement in Nifty?
The index had slipped below its 50 DEMA in the first half hour itself. But from there Nifty made a strong comeback of 229 points. The day’s low was 25,693 and closing was at 25,899 with a gain of 140 points. This shows that there is good buying present in the market at the support level.
Which stocks shined and which remained under pressure?
Adani Enterprises, Jio Financial Services and Tata Steel were among the top gainers and took the index higher. Shares like Asian Paints, SBI Life and Bharti Airtel remained under pressure.
All sectoral indices except Nifty Media and Oil & Gas closed in the green. The biggest rise was seen in Auto, Metal, Pharma and Consumer Durables.
Midcap and smallcap also bright
Broader market also showed strength. Nifty Midcap 100 rose one per cent, while Nifty Smallcap 100 gained 0.8 per cent. This is an indication that the market strength was not limited to large caps only.
Rupee fell 41 paise to close at record low of 90.37 per dollar. The main reasons for this were heavy dollar purchases by importers, especially importers of precious metals, and the rise in global metal prices.
Federal Reserve’s decision and global signals
The US Federal Reserve cut interest rates on Wednesday, but said there was little scope for further cuts. The Fed made it clear that it will wait for the employment and inflation trends. Officials’ opinions also appeared divided on interest rates for 2026 and beyond.
FII selling continues
Foreign investors also sold heavily on Wednesday and sold shares worth ₹1,651 crore. This was the 10th consecutive day when FII selling continued. In comparison, domestic investors (DIIs) bought ₹3,752 crore and supported the market.
What data will be monitored next?
America’s jobless claims data will come today. India’s CPI inflation data and UK’s GDP data will be released tomorrow. All this data can decide the next direction of the market.
An expert’s opinion on Nifty
Nagaraj Shetty of HDFC Securities said that the market is trying to reverse the short-term downtrend. If Nifty breaks above 25,950 to 26,000, it may move towards 26,250–26,300. The nearest support for Nifty is at 25,750.
According to Sudeep Shah of SBI Securities, zone 25,750–25,730 of 50-day EMA is still a very important support. If Nifty slips below 25,730, the fall may be deeper. On the other hand, if Nifty succeeds in sustaining above 26,000, the index may go up to 26,150.
Nandish Shah of HDFC Securities said that Nifty has been repeatedly testing 50 DEMA (about 25,735) for the last three sessions. This is an indication that the market is consolidating at this level. But if Nifty breaks strongly below 25,735, the fall could go to 25,663 and 25,450.
Stocks to Watch: These 13 stocks will be in focus on Friday, December 12, you may get a chance to earn huge profits.
Disclaimer: The advice or views expressed on Moneycontrol.com are the personal views of the expert/brokerage firm. The website or management is not responsible for this. Moneycontrol advises users to always seek the advice of a certified expert before taking any investment decision.
Promoters sold the highest stake in these 10 stocks, these stocks including Airtel, IndiGo are included in the list – 10 companies that have seen the highest promoter stake sale all through 2025 so far in value terms bharti airtel indigo vishal mega mart bajaj finserv
In the year 2025, for the second consecutive year, promoters and private equity companies made record stake selling in Indian companies. Stakes were sold by promoters in large to mid-sized companies.
With the help of media reports and data from Prime Database, Kotak Institutional Equities has prepared a list of 10 companies in which promoters’ stakes have been sold the most in terms of value so far in 2025.
Bharti Airtel | Promoter entities sold stake in the company several times throughout the year. According to Kotak’s note, Bharti Airtel promoters have sold shares worth $4.8 billion so far in 2025. Promoters currently hold 48.9% stake in Bharti Airtel.
InterGlobe Aviation | Rakesh Gangwal, one of its promoters, has been continuously selling stake in IndiGo. Sales by promoters in IndiGo so far in 2025 have totaled around $1.7 billion. IndiGo promoters still hold 41.6% stake.
Vishal Mega Mart So far in 2025, promoters have sold shares worth a total of $ 1.17 billion in Vishal Mega Mart. Promoters currently hold 54.1% stake in the company.
AWL Agri Business | According to Kotak’s note, stake sales by promoters so far this year totaled $717 million. Promoters currently hold 56.9% stake in the company.
Bajaj Finserv | Bajaj Finserv promoters have sold shares worth up to $634 million in the company so far in 2025. Currently the promoters’ shareholding in Bajaj Finserv is 58.8%.
Mphasis | Promoter selling in the company so far in 2025 has totaled $544 million. Promoter holding now stands at 40.1%.
Aptus Value Housing Finance | Promoters have so far sold shares worth $526 million in 2025, reducing their stake to 23.9%.
Sagility | The promoters of this company now hold 51% stake. He has sold shares worth $421 million so far this year.
Cohance Lifesciences | According to Kotak’s note, the company’s promoters have sold shares worth $356 million so far in 2025. Promoters’ stake currently stands at 57.5%.
Hindustan Zinc | Promoter Vedanta has sold shares worth $349 million in the company so far in 2025, reducing its stake to 61.8%.
Indigo Announces Compensation: Indigo will compensate passengers, affected passengers will receive vouchers worth Rs 10000 – indigo will compensate passengers affected passengers will receive vouchers worth Rs 10000
Indigo Announces Compensation: If you were stuck in canceled Indigo flights then this news is for you. Indigo has announced compensation to the affected passengers in the case of canceled flights. With complete details on this, Rohan Singh of CNBC-Awaaz told that Indigo will give compensation in case of cancellation of flights. In case of ticket cancellation, a refund of Rs 5000-10000 will be given. The affected passengers will get additional vouchers worth Rs 10,000. Travel vouchers will remain valid for the passenger for 1 year. For this, passengers will have to mail the company’s website customer.experience@goindigo.in
This compensation is in addition to the compensation received under government guidelines. Let us tell you that as per government guidelines, customers whose flights are canceled within 24 hours of the departure time will also be given compensation ranging from Rs 5,000 to Rs 10, depending on the block time of the flight.
Indigo has given this information on social media platform X. Indigo informed that some of our customers traveling on 3/4/5 December were stranded at some airports for several hours and many of them were badly affected due to the crowd.
It is noteworthy that the process of cancellation of Indigo flights started after the announcement of new rules for pilots and crew by DGCA in November. The crisis deepened further earlier this month. After this, hundreds of Indigo flights started getting canceled continuously. Due to this, passengers got stuck at various places at the airport. Now, after the strictness shown by the Aviation Ministry, the airline company has taken steps to provide relief to the passengers.
Stock Crash: ₹1240 crore cleared in just five days, selling increased further after withdrawal of this offer, did you also get a shock? – stock crash hubtown share price slips over 28 percent just in five days sell off intensifies after preferential issue called off
Stock Crash: There was a strong selling storm in the shares of real estate developer Hubtown today for the fifth consecutive day. Its decline, which has been going on due to weak market sentiment for four consecutive days, continued even today when the company decided to withdraw the proposed preferential shares. According to today’s intra-day low, its shares fell by more than 28% in five days and investors lost ₹1240 crore. As of now, Hubtown shares are currently down by 9.30% at ₹228.60 (Hubtown Share Price) on BSE. Today it slipped 13.37% to ₹218.35 in intra-day.
Why did Hubtown withdraw the proposal related to preferential shares?
Hubtown revealed in an exchange filing on Wednesday night, December 10, that in the current market conditions, investors were not enthusiastic about taking part in the proposed preferential issue. For this reason the company decided to withdraw this issue of 1,46,80,249 shares. This proposal was approved by the company’s board in the meeting held on August 30. The company further said that the decision to cancel the proposal for preferential issue of shares will not have a significant impact on the company’s business.
Hubtown has given more information
Hubtown has given more details along with the withdrawal of the preferential issue in the exchange filing. The company has revealed in another exchange filing that till November 10 this year, pre-sales of the company stood at ₹3547 crore while in FY 2025 this figure stood at ₹5022 crore. Apart from this, the company is going through the process of merging Marqui ultra-luxury projects into its listed entity which will increase its total development value from ₹85 thousand crore to ₹1.3 lakh crore. This merger will result in consolidation of over 50 lakh square feet of ultra-luxury inventory in South Mumbai.
How were the shares in one year?
Hubtown’s shares have made huge profits for the investors and in just three months it had increased the investors’ money by almost two and a half times. It was at a one-year low of ₹149.90 on BSE on 9 May 2025. From this low, it jumped 144.16% in just three months to reach a one-year record high of ₹366 on 26 August 2025. Now talking further, according to the details available on Indamoni, an analyst covering Hubtown has advised it to buy and has fixed the target price at ₹ 363.
Disclaimer: The advice or opinions expressed on Moneycontrol.com are the personal views of the expert/brokerage firm. The website or management is not responsible for this. Moneycontrol advises users to always seek the advice of a certified expert before taking any investment decision.
Stocks to Watch: Expiry of Sensex and rate cut in America; Chances of sharp movement in these stocks including BoB, LIC and Tata Steel – stocks to watch today tata steel ashoka buildcon purvankara prestige estates cipla sbi life insurance luxury time in focus on 11 december sensex weekly expiry nifty us fed rate cut
Stocks to Watch: Amid mixed trends from Asian markets, GIFT Nifty is indicating a green start in the domestic market today. The US Federal Reserve has cut the rates and after cutting it by 25 basis points it came down to 3.5-3.75% which is the lowest since the year 2022. Its impact can also be seen on the domestic market today. Also, due to the weekly expiry of Sensex today, sharp fluctuations may be seen in the domestic market. A trading day earlier on Wednesday, December 10, Sensex had closed at 84,391.27 with a fall of 275.01 points or 0.32% and Nifty 50 had closed at 25,758.00 with a slip of 81.65 points or 0.32%. Now if we talk about individual stocks today, due to their special corporate activities, sharp movements may be seen in some stocks. Details about these shares are being given here.
Stocks to Watch: Keep an eye on these stocks
Tata Steel’s board has approved capacity expansion of 4.8 metric tonnes per annum (MTPA) at Neelachal Ispat Nigam (NINL), the first phase of its capacity expansion. The Board has also approved the plan to setup 0.7 metric tonne per annum (MTPA) Hot Rolled Pickling and Galvanizing Line (HRPGL) at the existing Cold Rolling Complex located at Tarapur, Maharashtra. Apart from this, the company’s board also approved acquisition of 50.01% equity stake in Thriveni Pellets (TPPL) from Thriveni Earthmovers (TEMPL) for ₹636 crore.
Lloyds Metal & Energy subsidiary Lloyds Global Resources FZCO (LGRF) has received board approval to acquire 50% equity stake in Nexus Holdco FZCO for up to $55 million. Nexus holds approximately 80-90% equity stakes in Surya Mines SARL and eight other companies formed in the Democratic Republic of Congo, which together own several mining concessions and a copper processing plant. Apart from this, the Board has also approved MoU with Tata Steel regarding raw material mining, logistics, pellets and steelmaking etc.
Adani-Ashoka-Akshay, a joint venture with Adani Road Transport holding 51%, Ashoka Buildcon 26% and Akshay Infra Projects 23%, has received a project worth ₹1,815.79 crore from the BMC for the Mithi River Development and Pollution Control Project.
Starworth Infrastructure and Construction, a subsidiary of Purvankar, has been awarded the turnkey civil construction, finishing, MEP and external development work worth ₹509.52 crore for Varnam Phase 1 of One Bengaluru Luxury Project (OBLP) in Bengaluru Rural district, Karnataka.
Petronet LNG has entered into an agreement with a consortium of SBI and Bank of Baroda for two term loans of ₹6,000-₹6,000 crore. It will be used in financing the petrochemical project located in Dahej, Gujarat.
Adani Enterprises’ rights issue of ₹24,930.30 crore, opened on November 25, was successfully completed.
LIC has received a demand notice from the Deputy Commissioner of State Tax, Mumbai, demanding GST of ₹2,370.34 crore, including interest and penalty, for the financial year 2021-22 to 2023-24.
Svetlana Boldina will step down as Executive Director-Finance and CFO of Nestlé India with effect from January 31, 2026, as she will take up a new role at a Nestlé subsidiary.
Prestige Estates Projects
Prestige Estates Projects’ subsidiaries – Prestige Falcon Realty and Prestige Projects – have acquired partnership stake in Bharatnagar Buildcon LLP for ₹938.75 crore. With this acquisition the company now indirectly holds 66.93% stake in Bharatnagar Buildcon LLP.
Mazagon Dock Shipbuilders
The Brazilian Navy and the Indian Navy have entered into an MoU for exchange of information related to the maintenance of Scorpene class submarines and other military vessels in collaboration with Mazagon Dock Shipbuilders.
Bank of Baroda has received approval from RBI to setup a Section 8 company under the Companies Act for Digital Payments Intelligence Platform.
DCM Shriram has signed an MoU with Bayer Crop Science under which both will jointly explore opportunities to strengthen the agricultural ecosystem of the country.
KEI Industries has started the first phase of commercial production of LT/HT cables at its greenfield facility in Ahmedabad.
Cipla has introduced Urpik (trizepitide) Injection. It is used once a week for obesity and type 2 diabetes. Eurpik is Lilly’s second brand of Tirzepatide in India.
State Bank of India (SBI)
SBI has received approval from the Reserve Bank of India to set up a Section 8 company under the Companies Act for Digital Payments Intelligence Platform.
SBI Life Insurance Company
SBI Life Insurance Company has received an order of the Securities Appellate Tribunal (SAT), in which the appeal of Sahara India Life Insurance Company filed against the order of insurance regulator IRDAI dated June 2, 2023 has been dismissed. SAT has upheld the IRDAI order. IRDAI had ordered to immediately transfer the assets and liabilities of all the policyholders of Sahara India Life Insurance Company to SBI Life Insurance Company.
block deals
Total Energies Renewables Indian Ocean, a subsidiary of global energy company Total Energies, sold 2.86 crore equity shares (1.7% stake) of Adani Green Energy at ₹970 apiece for ₹2,778.09 crore to 17 investors through a block deal. Of this, Quant Mutual Fund, the largest, bought 1.23 crore shares (0.75% stake) for ₹1,200 crore. The remaining Rs 1.62 crore was bought by 16 other investors including BNP Paribas Financial Markets, Edelweiss Mutual Fund, Vanguard Emerging Markets Shares Index Fund, Amity Holdings, Cohesion MK Best Ideas, Visaria Family Trust and Authum Investments for ₹1,578.09 crore.
Today Luxury Time and Western Overseas Study Abroad will have their entry on BSE SME.
Today, you will not be able to take new F&O positions in Bandhan Bank and Samman Capital.
Join here for today’s live action in the stock market
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Meesho listing bang! How far will the stock run now? – meesho share price rise upto 60 percent of day first should you buy sell or hold watch video to know
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Meesho Share Price: E-commerce company Meesho made a big entry in the stock market on Wednesday. The company’s shares were listed on NSE at 46 percent above its IPO price. Meesho’s IPO was open for bidding between December 3 and 5 and it received a total of 79 times oversubscription from investors. The company’s IPO came at a price of Rs 111 per share.
Fed rate cuts: Federal Reserve reduced the interest rate, but strict signals for the future; What will be the impact on the Indian market? – fed cuts interest rates by 25 basis points sends hawkish signal impact on indian stock market fii flows bond yields and rbi policy
Fed rate cuts: The US central bank Federal Reserve cut its key interest rate on Wednesday, but also indicated that it will not be easy to reduce rates further. This decision made it clear that there is deep disagreement within the Fed regarding whether the priority should be to control inflation or to support the employment market.
What was the decision of the Federal Reserve?
The Federal Open Market Committee (FOMC), the Fed’s policy-making committee, cut the overnight lending rate by 0.25 percentage points. After this the interest rate came in the range of 3.5 percent to 3.75 percent. The market was already expecting this decision, hence it was called ‘Hawkish cut’, that is, the cut happened but the stance remained tough.
So many anti-votes for the first time in 6 years
The most important thing about this decision was that three members voted against it, which has happened for the first time since September 2019. The overall voting was by a margin of 9-3, clearly showing the growing divisions within the Fed.
Fed Governor Stephen Miron believed that the situation demanded bigger relief, so he supported a cut of 0.50 percentage points. At the same time, Kansas City Fed chief Jeffrey Schmid and Chicago Fed chief Austin Goolsby opposed any cut in rates.
Economic data will be monitored
In a statement issued after the meeting, the FOMC repeated the same language it had used in December 2024. At that time this language meant that the Fed could stop from reducing rates for the time being.
The statement said that any further changes will be decided after considering the upcoming economic data, the changing outlook and the balance of risks.
Limited scope for further rate cuts
Now after three consecutive cuts, the question is what will happen next. The Fed’s own signals show that there is no scope for further cuts.
The dot plot showing the future thinking of Fed officials shows that there is scope for only one cut in 2026. Same situation is going to prevail in 2027 also i.e. another cut. After this, the interest rate may stabilize at around 3 percent level in the long term.
GDP estimates increased, but inflation remains a concern
On the economic front, the Fed has increased GDP growth estimates for 2026. This has been increased by 0.50 percentage points from the September estimate to 2.3 percent. However, the Fed believes inflation could remain above its 2 percent target through 2028.
According to the Fed’s preferred inflation measure, inflation stood at 2.8 percent in September. This is down from the highs of a few years ago, but still well above the Fed’s 2 percent target.
Fed will buy treasury bonds again
With the decision on interest rates, the Fed took another big step. It announced that it would resume purchasing Treasury securities. At the October meeting, the Fed had said that it would stop shrinking the balance sheet from this month.
The Fed will buy $40 billion of Treasury bills starting Friday. After this, purchasing may remain at a high level for a few months and then it will be reduced to a great extent. This decision has been taken amid fears of pressure in the overnight funding market.
Political pressure is also increasing
All this is happening at a time when Fed Chair Jerome Powell is nearing the end of his second term. Now he has only three meetings left. After this, President Donald Trump will nominate his new candidate.
Trump has already indicated that he will choose someone who is in favor of low interest rates. According to market estimates, Kevin Hassett’s chances of becoming Fed chair are 72 percent. Former Fed Governor Kevin Wersh and current Governor Christopher Waller are far behind.
What will be the impact on the stock market?
This decision of the Fed may increase instability in global stock markets. Despite the interest rate cut, the Fed’s dovish stance, internal differences and indications of further limited cuts are disappointing for equity investors.
Bond yields in the US may remain high, putting pressure on tech and growth stocks. Additionally, the Fed’s resumption of Treasury bond purchases may provide liquidity support in the short term, but long-term investors may still take a cautious stance.
What does this mean for India
From India’s point of view, Fed’s strict stance is important for FII flows and the movement of rupee. If interest rates in the US remain high for a long time, foreign investors may lose interest in emerging markets, leading to volatility in the Indian stock market.
However, India’s strong domestic growth and inflation under control may offset this pressure to some extent. For RBI, this is also a signal that it will not be hasty in cutting rates and will maintain a cautious monetary policy in view of the global conditions.
TCS acquisition: American AI company will buy Tata Group’s TCS, deal will be for ₹ 6292 crore; Know complete details
Meesho Share Price: Meesho’s share will go up to ₹200! Know why brokerages are bullish – meesho share price can hit 200 rupees why brokerages are bullish after blockbuster ipo listing
Meesho Share Price: E-commerce company Meesho made a strong debut in the stock market on Wednesday. The company’s shares were listed on NSE with a premium of about 46 percent over its IPO price. Meesho’s IPO was open for subscription between December 3 and 5 and was subscribed 79 times by investors. The company had issued shares in the IPO at a price of ₹111 per share. Now brokerage firms are also bullish on Meesho. He has given a target price of ₹200 for the company.
How was the listing on NSE and BSE?
Meesho shares were listed on NSE at ₹162.50, which is 46.4 percent higher than its IPO price. Whereas on BSE the shares opened at the level of ₹161.20, which shows a premium of about 45.23 percent. The company’s market cap crossed ₹72,751 crore soon after the listing.
Share made new high after listing
Meesho shares hit an intra-day high of ₹177.49 shortly after listing. This level is about 60 percent more than the IPO price. The special thing was that the listing of Meesho left behind even the expectations of the gray market. The shares were expected to be listed in the gray market at a premium of around 39 percent.
Strong hold in Tier-2 and Tier-3 cities
Meesho has built a strong presence in tier-2 and tier-3 cities of India. It has also been challenging for companies like Amazon and Flipkart to penetrate these markets. The company has said that the funds raised from the IPO will be used for cloud infrastructure, marketing, brand building, inorganic growth and other corporate needs.
Analyst’s opinion on target price
Choice Institutional Equities has given BUY rating on Meesho and set a target price of ₹200. This is a total upside of about 82 percent compared to the issue price of IPO i.e. ₹ 111. At the same time, there is a potential upside of about 17.65 percent compared to the current market price i.e. Rs 170. The brokerage says Meesho’s strong foothold in the value e-commerce segment, rapidly growing user base and Valmo’s role in logistics make the company strong in the long term.
According to the report, Meesho’s revenue is expected to grow at a CAGR of about 31 percent between FY25 to FY28. At the same time, EBITDA is expected to be positive by FY27. The brokerage believes that the stock is currently trading at lower valuations compared to its listed peers and as profitability improves, the share price may see further upside.
Hold advice for long term
According to Shivani Nyati of Swastika Investmart, Meesho has become free cash flow positive in FY 2025. Additionally, being India’s only ‘value e-commerce’ company, Meesho also enjoys a premium valuation.
Mahesh M Ojha of Kantilal Chhaganlal Securities says that Meesho’s focus is on value, scalability and rapidly growing user base. According to him, investors should hold this stock for medium to long term.
Should short term investors book profits?
Prashant Tapse, research analyst at Mehta Equities, believes that short term investors can book profits. At the same time, investors with higher risk appetite can hold shares for 12 to 18 months, because there are long-term growth prospects in the company.
According to Narendra Solanki of Anand Rathi Shares, Meesho’s future earnings will depend on how well the company controls expenses and how effective the marketing is. His advice is that investors who have got shares in the IPO, should withdraw some profit on the listing and hold the remaining shares for the long term.
Shares of BSE, CDSL and Angel One fell for the third consecutive day, prices fell by 5%.
Disclaimer: The advice or views expressed on Moneycontrol.com are the personal views of the expert/brokerage firm. The website or management is not responsible for this. Moneycontrol advises users to always seek the advice of a certified expert before taking any investment decision.
The stock market is waiting for this big news, know why investors all over the world are nervous – share market brace for big trigger us fed to deliver third rate cut all eyes on 2026 policy
There is constant uneasiness in the stock market. Sensex and Nifty closed with losses for the third consecutive day today on December 10. This happened because investors are currently waiting for a major decision. Along with India, markets all over the world are keeping an eye on this decision. The Federal Reserve Bank of America is going to announce this decision late tonight. It is believed that the US Federal Reserve Bank is preparing to cut interest rates for the third consecutive time today.
But the real question is not whether there will be cuts or not? The real thing is what does the Federal Reserve indicate regarding the policy for the new year 2026? This question is increasing the heartbeat of the market. Will the US Federal Reserve reduce interest rates today and is this the last stop of rate cuts?
The Federal Reserve Bank of America is going to announce the results of its two-day meeting today. Most economists, and a Reuters survey, are saying that the Federal Reserve Bank can cut interest rates today by 25 basis points, i.e. a quarter percent. This will bring the US federal funds rate between 3.5 – 3.75%. The stock market is also waiting for the same. But the real focus of the market rests on the press conference and statements of Federal Reserve Bank Chairman Jerome Powell after this cut.
Is the rate cut phase going to stop now?
Many big brokerage houses, including Goldman Sachs, say that even if the Federal Reserve cuts interest rates today, any rate cut from here onwards is not easy. He says that the inflation rate in America still remains at 2.8%, which is above the Federal Reserve’s target of 2%. In such a situation, if interest rates fall further, it may be difficult to achieve this target. Price increases from Trump tariffs are also adding to the uncertainty. Meanwhile, another major blow came when the US government shutdown stopped the reporting of many important economic data last month. That means the Federal Reserve does not yet have enough data to take the right decision.
What decision will the Federal Reserve Bank take today?
Most experts say that the Federal Reserve Bank may decide to cut interest rates today, but at the same time it may also indicate a ‘hawkish’ stance. That is, the Federal Reserve Bank may indicate that it may not cut interest rates sharply further.
All eyes will be on the new economic projections to understand the stance of the Federal Reserve. This will only indicate to what level interest rates can be cut in 2026. At present, the estimates of Fed officials are quite different from each other. Some feel that inflation may persist for a long time, hence the policy should be tightened. Others say that the labor market is cooling, so further cuts will be necessary in the year 2026. That is, there seems to be no consensus on this issue within the Federal Reserve Bank and this is increasing uncertainty in the global markets.
Market also keeps an eye on quantitative tightening (QT)
Apart from interest rates, this time everyone’s eyes will be on another signal. Stock markets will want to know what signals the Federal Reserve gives regarding its balance sheet. Earlier there have been indications that the Federal Reserve may stop the process of reducing liquidity by quantitative tightening (QT) i.e. by selling bonds. There are some indications that the Federal Reserve may even purchase bonds in the future to increase liquidity. If this happens, it will be a big signal for the stock market.
Overall, due to these uncertainties, the entire global market is under pressure. American stock markets are also in the red. There is also weakness in the markets of Shanghai, Hong Kong and Tokyo. In India too, Sensex and Nifty are in decline for three consecutive days.
If the Federal Reserve Bank indicates that the cuts will continue in 2026, then most experts say that this can be very positive news for the stock market. If the reverse happens, then pressure can be seen on the market.
When will the decision come?
The decision will come at 12:30 am IST on Thursday, and will be immediately followed by Powell’s press briefing, which will provide clarity on how the Fed plans to handle the next phase of inflation.
Also read- This share will be divided into 5 pieces, record date on 26th December, company will do stock split for the first time.
Disclaimer: The views and investment advice given by experts/brokerage firms on Moneycontrol are their own and not those of the website and its management. Moneycontrol advises users to consult certified experts before taking any investment decision.