The Indian equity benchmarks closed almost flat for the second consecutive trading day on Monday, December 1, showing remarkable resilience near record-high levels despite the release of stellar economic growth data. The market mood was one of consolidation and caution ahead of key domestic and global triggers.
Benchmarks Pause After Record High
The S&P BSE Sensex slipped 65 points, or 0.08%, to settle at 85,641.90. Meanwhile, the broader Nifty 50 index closed at 26,175.75, marking a decline of 27 points or 0.10%. This followed a similarly subdued performance in the previous session, indicating a pause in the recent rally.
Interestingly, the Nifty 50 had opened the day on a strong note, scaling a fresh lifetime high of 26,325 amid positive sentiment. However, it could not sustain those gains and witnessed intraday volatility before closing in negative territory. Sectoral performance presented a mixed picture. While auto, metal, and information technology sectors managed to edge higher, realty and pharmaceutical stocks closed with losses.
Strong GDP Fails to Ignite Rally
The flat closing was particularly notable as it came against the backdrop of robust GDP numbers for the second quarter (Q2) of the current fiscal year. India's economy grew at 8.2%, its fastest pace in six quarters, reinforcing the nation's strong economic momentum. However, this positive macro data point was insufficient to drive the markets significantly higher.
According to Ajit Mishra, Senior Vice President of Research at Religare Broking, sentiment did draw support from the strong GDP print, positive global cues from US markets, and steady buying by domestic institutional investors (DIIs), which helped offset outflows from foreign institutional investors (FIIs). He also cited robust wholesale auto numbers and optimism around potential interest rate cuts as supportive factors. However, caution prevailed ahead of the Reserve Bank of India's (RBI) monetary policy decision and crucial US economic data releases.
Major banking and financial heavyweights, including HDFC Bank, Bajaj Finance, and State Bank of India (SBI), acted as the primary drags on the benchmark indices during the session.
Stocks in the News Spotlight
Several individual stocks were in focus due to significant corporate developments:
Bajaj Housing Finance: The company stated that its promoter, Bajaj Finance, plans to sell up to a 2% stake via open market transactions to meet the minimum public shareholding norms set by regulators.
Ambuja Cements: The cement major announced the commissioning of a 4 million tonnes per annum (MTPA) brownfield clinker expansion at its Bhatapara plant in Chhattisgarh. This increases its total consolidated clinker capacity to 66 MTPA.
Hindustan Unilever (HUL): The FMCG giant appointed Vandana Suri as its Executive Director for Home Care, effective January 1, 2026.
Indian Hotels Company (IHCL): Its subsidiary, Roots Corporation Ltd, acquired 51% stakes in Pride Hospitality and ANK Hotels through separate deals, investing ₹81.2 crore and ₹109.3 crore, respectively.
Bharat Dynamics: The defence PSU received fresh orders worth ₹2,461.62 crore for anti-tank guided missiles and surface-to-air missiles under emergency procurement.
Hyundai Motor India: The automaker reported a 9.1% year-on-year increase in total sales for November 2025, selling 66,840 units, buoyed by steady SUV demand and strong exports. It retained its position as India's second-largest carmaker by volume.
NMDC: The state-run miner's provisional data showed iron ore production rose 11% year-on-year to 5.01 million tonnes in November, while sales grew 4.3% to 4.17 million tonnes.
Afcons Infrastructure: The Shapoorji Pallonji Group company secured engineering, procurement, and construction (EPC) orders worth ₹884 crore in November through its marine and industrial division.
Tata Motors: The automaker's passenger vehicle sales jumped 26% year-on-year to 59,199 units in November, with domestic sales rising by approximately 22%.
Aditya Birla Capital: The company initiated a ₹300 crore investment via a rights issue in its wholly-owned subsidiary, Aditya Birla Housing Finance Ltd.
Disclaimer: This news article is for informational and educational purposes only. Readers are advised to consult with a certified investment advisor before making any financial decisions.
