Rupee pressure, bank selloff push Nifty, Sensex down

The domestic share market extended their losing streak for a third straight session on Tuesday, with the Nifty slipping to around 26,000 amid persistent rupee depreciation and weakness across sectors.At close, the Sensex was down 503.63 points or 0.59 percent at 85,138.27, and the Nifty was down 143.55 points or 0.55 percent at 26,032.20.

#Markets slip in early trade as profit booking drags Sensex and Nifty, with financial stocks leading the declines. pic.twitter.com/5TstQC9toe

— newsinc24 (@newsinc24) December 2, 2025

Asian Paints, Tech Mahindra, Dr Reddy's Labs, SBI Life Insurance and Maruti Suzuki were the top gainers on the Nifty,whle losers included Interglobe Aviation, Reliance Industries, HDFC Bank, ICICI Bank, Axis Bank.On the sectoral front, all the sectoral indices ended in the red with metal, oil & gas, private Bank, consumer durables, media index down 0.5% each. BSE Midcap index ended marginally lower, while Smallcap index fell 0.6%.
Rupee Close: 
On 2 Dec'25, the Indian rupee continued hitting fresh record low, as it was 42 paise down at an all-time low of 89.95  against the US dollar on Tuesday, largely owing to continued short-covering from speculators and sustained importer demand for the American currency.Forex traders said multiple pressures, like foreign fund outflows from equities and lingering uncertainty over the Indo-US trade deal, are keeping investor sentiment fragile.
Trading Guide:
Vinod Nair, Head of Research, Geojit Investments stated, domestic markets continued to witness profit booking amid worries over the weakening rupee and persistent FII outflows. Meanwhile, the NSE’s sectoral index overhaul in line with SEBI regulations led to corrections in major banking counters.In the near term, fading expectations of an RBI rate cut owing to strong GDP data and the uncertainty around US–India trade discussions may keep investors on edge.Even so, solid domestic macro fundamentals and a strengthening earnings outlook for the second half of the fiscal year are likely to lend support going forward.
Market experts recommended five shares to buy on Tuesday-Knowledge Marine & Engineering Works, Cupid, Garuda Construction and Engineering, Yatra Online, and Gokul Agro Resources.

(Business Correspondent)