WEEKLY TRENDSETTER ( DEC 12,2025)
| 2025 | NOV 30 | DEC 5 | Ch % |
| NIFTY | 26203 | 26186 | -0.06 |
| BANK NIFTY | 59752 | 59777 | 0.04 |
| USD/INR | 89.49 | 90.08 | 0.66 |
MARKET REVIEW-The week looked like heading to close in the negative. However, an RBI boost in the form of a rate cut cheered the market and the recovery ensured that the indices close near the highs for the week. The highlight for the week was the rupee touching a historic level of 90.
INTERESTING CUES
Bank Nifty reshuffle –SEBI is finally addressing a long pending imbalance in Bank Nifty where HDFC Bank (30%) and ICICI Bank (21%) have high weightages resulting in a huge swing in the index when these 2 counters moved sharply on either side. The revision will ensure no stock has more than 19% weightage followed by the 2nd stock which cannot exceed 14%.2 new stocks also have been introduced in the index namely Yes Bank and Union Bank taking the total number of stocks to 14. Thus, HDFC Bank and ICICI Bank will see selling pressure, inflows into the new entrants will be seen. This move is effective from Dec 31, 2025.This move should make Bank Nifty a better representative of banking stocks and moves should be more rational.
More stocks hitting 52 -week low
The broader market has been witnessing selling pressure. While 36 stocks hit 52 weeks high 249 stocks hit a 52-week low. The market is mirroring early 2019 when a similar scenario existed. The fall cascaded in the early part of Covid. Post that a remarkable rally saw many of the beaten down stocks turn to multibaggers. Thus, investors need to be patient in the current downtrend of many stocks. When valuations become attractive it will be matter of time when the promoters start buying their shares from open market and the fund managers entering on the lookout for bargains.
NIFTY –The index was getting support from IT consistently for the entire week which was largely due to the rupee depreciation. The broader market was in a struggle zone as investors preferred to exit stocks which were in a steady decline. Towards close of week banking stocks rallied which helped the index to close above 26186.
BANK NIFTY-The index got support at 59000 level after a brief dip below that. The rally post that ensured that the index closed at the high point for the week with hopes of reclaiming the 60000-level next week.
Stocks on the move
INDUS TOWER-The stock saw good buying last week which is largely due to the AGR relief expected to be announced soon for Vodafone Idea which will ease liquidity for the company and indirectly benefit Indus Tower as VI is its prominent customer.
Kesoram Industries –The company is entering a new chapter in its history. While erstwhile promoter Birla have exited a new promoter Frontier Warehousing Limited has entered with 42.8% acquisition from erstwhile promoters at Rs 4 per share and now launched an open offer at Rs 5.48-50 per share. Post the hiving and selling off of the tyre and cement divisions, the company has a residual business comprising of rayon, transparent paper and certain chemicals. Lot depends on the vision of the new promoter.
Wishing all readers a good week ahead!
Note: Any queries /clarifications may be addressed to stockmasala@gmail.com .
Krish Subramanyam
DISCLAIMER: Kindly note that I am not SEBI registered and the above content is for educational/informational use only and users should consult a registered professional before investing.