The Indian stock market witnessed a volatile trading session on Tuesday, December 23, 2025, ending the day with little change. The benchmark indices closed nearly flat as investors booked profits following a two-day solid rally, with a lack of fresh triggers keeping the market in a tight range.
Benchmark Indices Show Muted Movement
The Nifty 50 index closed at 26,166, registering a marginal decline of 0.02%. The S&P BSE Sensex ended nearly flat at 85,517. The broader market performance was mixed. The Nifty Midcap 100 index ended flat, while the Nifty Smallcap 100 index managed to gain 0.34%.
This subdued closing came after a strong performance in the previous two sessions, where the Nifty had gained 1.4% and the Sensex advanced 1.3%.
Sectoral Performance: IT Slumps, Railway Stocks Shine
The technology sector faced significant selling pressure after a sharp rally on Monday. The Nifty IT index, which had jumped 2% a day earlier, emerged as the worst performer of the day, falling 0.85%. Within the pack, Coforge shares fell 5%, while Infosys and Persistent Systems declined by 1.4% and 1.1%, respectively.
PSU Bank, pharma, and realty stocks also saw a healthy correction. On the positive side, the Nifty Media index rallied 0.67%, followed by gains in Nifty Chemicals and Nifty Metal, which rose 0.54% and 0.53% respectively.
Railway and Allied Stocks Extend Winning Streak
Despite the overall market volatility, railway and related public sector undertaking (PSU) stocks continued their upward momentum, becoming the top gainers among Nifty 500 constituents.
Jupiter Wagons led the charge, with its shares rising another 8% to ₹335. This surge added to its impressive 19% gain from earlier sessions, taking its month-to-date gain to 17.53%.
Other notable gainers in the railway space included:
- Ircon International
- RailTel Corporation of India
- Indian Railway Finance Corporation (IRFC)
- Ramkrishna Forgings
- Rail Vikas Nigam
These stocks posted strong gains ranging between 3% and 8%. Other major gainers for the day included Alok Industries and Coal India.
Bond Yields Touch Nine-Month High
In a related development, India's 10-year government bond yields touched a nine-month high of 6.68%. This movement reflected traders scaling back expectations for further interest-rate cuts. Concerns over a potentially large supply of state debt in the coming months also dampened investor appetite in the bond market.
The market's sideways movement indicates a phase of consolidation. While profit booking in recently high-flying sectors like IT was evident, sustained buying interest in thematic sectors like railways and PSUs provided underlying support. Investors are likely awaiting fresh catalysts for the next directional move.
