US Markets Navigate Year-End Repositioning as Indian Equities Display Broadening Strength

US equity markets experienced notable volatility through out the last week, driven by technology sector corrections and year-end port folivore balancing.

Major American indices delivered mixed performance, with the Nasdaq under pressure from profit taking in AI-related stocks following substantial year-to-date gains.

Market sentiment improved markedly after December 12, supported by expectations of steady Federal Reserve policy and encouraging consumer spending data, including robust 4.1% growth in Black Friday retail sales.

Indian equity markets closed the week on an optimistic note, demonstrating remarkable resilience despite global head winds and domestic profit booking pressure. While front line indices traded side ways, the broader market showed impressive strength.

This out performance in mid and small cap segments suggests selective buying and improving investor risk appetite following a prolonged period of under performance.

Asian stocks opened the week on firmer footing, building on Friday’s Wall Street rally that reinforced optimism for a strong year-end a cross global markets.

IT stocks captured market attention with a 1.2% advance following strong quarterly results from global technology bell wether Accenture.

The Infosys (INFY)ADR experienced a trading anomaly on December19, 2025 an early 50%intraday price surge at tribute able to a data feed error. Some systems mistakenly linked the ‘INFY’ ticker to an incorrect company, triggering automated buy order sand a short squeeze that led to NYSE volatility halts.

From a technical perspective, Nifty has broken above a downward-sloping trend line connecting recent lower swing highs, signaling potential easing of bearish momentum. The index held above the swing low of 25,693 and formed a higher bottom at 25,726, accompanied by follow-through buying a constructive technical development.

A sustained move above 26,058 would confirm bullish higher-high, higher-low structure on the daily chart and potentially signal a resumption of the primary up trend. In that scenario, Nifty could advance toward next resistance level sat 26,202 and 26,330.On the downside, 25,726 now serves as near term support.

The Indian market share likely to open higher today on the back of positive global cues.

Source -HSL Prime Weekly, 22 Dec 2025

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