Silver does offer greater upside potential but comes with higher volatility due to its reliance on industrial demand, an analyst said.
A source added that these efforts come amid a push to boost exports to Russia to balance the trade, with a focus on spurring Indian shipments of automobiles, auto components, and pharmaceuticals.
Easing geopolitical tensions and China’s export restrictions were among four key reasons behind the downturn.
Forex traders said foreign portfolio investors continue to offload Indian equities, which has been weighing on the Indian rupee in the last few months.
Nimesh Chandan expects corporate profit growth to move closer to double-digit in the second half of FY26 and further accelerate into the mid-teens in FY27.
As we transition into 2026, market direction will be shaped by three key factors: currency volatility, foreign institutional investor flows, and developments in India-US trade discussions
The domestic equity markets are expected to be cautious amid rangebound trading with focus on auto sales, FOMC minutes and manufacturing PMI numbers. The monthly F&O expiry-led volatility can't be ruled out in initial part of the week, experts said.
Stocks to Watch, 29 December: Stocks like Coforge, Sigachi Industries, Viceroy Hotels, Lloyds Enterprises, Vedanta, Suzlon Energy, Akums Drugs and Pharmaceuticals, Diamond Power Infrastructure, Avantel, Solarworld Energy Solutions, Punjab National Bank, and Timex Group India will be in focus on December 29.
Looking ahead, the 26,200–26,250 zone is likely to serve as a key barrier for Nifty 50. A convincing breakout above 26,250 could open the door for a swift upswing towards 26,500 and then 26,650 in the near term, said Sudeep Shah.
On the domestic side, the surprise for markets could be earnings related. Either earnings come in weaker-than-expected, or they surprise positively if demand and margins improve faster than anticipated, said Rishabh Nahar.
Attention will be on the FOMC meeting minutes and weekly US jobless claims.
Among sectors, Nifty Defence index rose more than 3 percent, Nifty Metal index up 2.7 percent, Nifty Media gained 1 percent, however, Nifty PSU Bank shed nearly 1 percent, Nifty IT and Nifty Pharma declined 0.3% each.
Rohit Sarin's preference for 2026 is tilted toward large-cap stocks. This is primarily because large caps are currently more favourably valued relative to mid- and small-cap stocks.
Frictions in Venezuela, where the US has blockaded oil tankers and ramped up pressure on the government of Nicolás Maduro, have added to the precious metal’s haven appeal.
Milan Vaishnav believes the Nifty IT Index is breaking out from a multi-month consolidation and may inch meaningfully higher from current levels.
On December 24, Foreign Institutional Investors (FIIs) sold equities worth Rs 1,721 crore, extending their selling streak for the third consecutive session, while Domestic Institutional Investors (DIIs) purchased equities of Rs 2,381 crore, providing a cushion to the market.
Banks and financial services are relatively safer investment options for 2026 as the credit costs are low, monetary easing is underway and valuations are reasonable, said Sandeep Bagla.
Stocks to Watch, 26 December: Stocks like AVG Logistics, Lenskart Solutions, KNR Constructions, Ola Electric Mobility, Vikran Engineering, Zota Health Care, Strides Pharma Science, Panacea Biotec, Castrol India, Supreme Industries, JK Cement, and NBCC (India) will be in focus on December 26.
Avinash Agarwal believes 2026 will be much better for the mid and small-cap segment given that the earnings growth is expected to improve and the full benefit of rate cuts, GST reforms, and other announcements will flow into the economy.
On December 24, the Indian equity indices ended with marginal losses, following a volatile trading session marked by muted volumes ahead of the Christmas holiday.
Major research and brokerage houses expect the rupee to exit its current depreciating phase in 2026, but much will depend on the progress of the trade deal between India and its largest trading partner, the US.
Gold financier stocks hit fresh 52-week highs as rising geopolitical risks and higher Fed rate cut hopes boosted precious metal's prices.
Gold surged to break above the psychological milestone of $4,500 an ounce on Wednesday for the first time, as safe-haven demand and expectations of rate cuts kept bullion a favored asset.
IT and healthcare appear promising at this juncture which are both export-oriented, said Sanjay Chawla.
Stocks to Watch, 24 December: Stocks like Monte Carlo Fashions, Rail Vikas Nigam, Zydus Lifesciences, Emcure Pharmaceuticals, GPT Infraprojects, SJS Enterprises, Surana Telecom, Vikran Engineering, Ajanta Pharma, Coal India, Federal Bank, Bliss GVS Pharma, GAIL India, Belrise Industries, and Marc Technocrats will be in focus on December 24.