TCS Lands Massive AI Deal and Silver Hits Record High

Indian Stock Market Surges Despite Fresh Headwinds: Silver Hits Record High, Gold Follows, Rupee at All-Time Low, and TCS Lands Massive AI Deal – Full Analysis December 2025

The Indian stock market delivered a surprising rally on December 11, 2025, even as multiple negative triggers emerged – a sharply weakening rupee touching a fresh all-time low of ₹90.47 against the dollar, conflicting statements on the India-US trade deal timeline, and persistent FII selling pressure. Nifty closed above 25,800 while Sensex gained over 600 points. Investors cheered the US Federal Reserve’s dovish stance, which turned out “better than expected,” triggering global risk-on sentiment. Yet, several under-the-radar risks are building up that could dictate the market’s next big move.

Here’s a comprehensive, SEO-optimized breakdown of everything that moved the market today, why silver is outperforming gold by a massive margin, which stocks benefited the most, and what technical levels you must watch in the coming sessions.

Why Indian Markets Ignored Bad News and Rallied

The primary catalyst was the US Fed decision announced late Wednesday night (India time). The Fed delivered the widely expected 25-basis-point rate cut, bringing the Fed Funds rate to 4.25–4.50%. Markets had already priced in a 89% probability of this move, so why the celebration?

• Dovish Forward Guidance: Chairman Jerome Powell explicitly said that excluding Trump’s proposed tariffs, core inflation is very close to the Fed’s comfort zone. He downplayed AI-driven job losses as “temporary” and upgraded US GDP growth projections.
• Balance Sheet Surprise: The Fed will resume purchasing $40 billion of Treasury securities starting next month – essentially quantitative easing lite. This injects fresh liquidity into the system at a time when markets feared tightening.
• No Hawkish Surprises: Investors feared Powell would sound cautious because of sticky inflation. Instead, he sounded confident that the job market cooling is orderly and growth remains solid.

Global markets loved it. Nasdaq futures jumped 1.5%, European indices opened strong, and Asian markets followed (except Japan and Hong Kong, which stayed red). Indian indices rode the same wave.

The Big Hidden Negative: Rupee Crashes to Lifetime Low of ₹90.47

While the Fed stole the headlines, the Indian rupee quietly broke down to its weakest level ever. Key reasons:

• Delayed India–US trade deal: Chief Economic Advisor V. Anantha Nageswaran said a comprehensive deal may only conclude by March 2026. Although Commerce Minister Piyush Goyal later contradicted him and sounded optimistic, the initial statement spooked currency markets.
• Persistent trade deficit with the US (India’s largest export partner).
• Relentless FII selling – foreigners have been net sellers for weeks and continue holding massive short positions in USD-INR futures.

A rupee below ₹90.50–91 is generally negative for equities, especially banking, IT, and import-heavy sectors. The fact that the market still rallied despite this is noteworthy, but sustainability is questionable.

Key Observation for Next 2–3 Sessions: If Nifty continues higher even as the rupee stays weak or weakens further, it will confirm that the market has “absorbed” the currency risk and the rally has legs. If indices start correcting the moment rupee crosses ₹90.70–91, the Fed boost was just a one-day wonder.

Silver Outshines Gold: Why Silver Prices Exploded ₹5,000 per kg in One Day

While 24-carat gold rose ₹100–150 per 10 grams, silver skyrocketed by nearly ₹5,000 per kg – hitting fresh all-time highs above ₹98,000 domestically.

Top reasons behind silver’s massive outperformance:

1. Industrial Demand Boom – Silver is 50%+ used in industry (solar panels, EVs, 5G equipment, electronics). Global green energy push + AI data center boom = surging demand.
2. China Export Controls on certain critical minerals indirectly benefit silver supply chains.
3. Lower Rate Environment – Rate cuts reduce the opportunity cost of holding non-yielding assets, but silver benefits more because of its dual (industrial + precious) nature.
4. Critical Mineral Status – The US Geological Survey recently added silver to its critical minerals list, opening the door for strategic stockpiling and subsidies.

Stock to Watch: Hindustan Zinc (NSE: HINDZINC) – India’s largest silver producer – surged over 6% intraday and remains the best pure-play on rising silver prices.

Crude Oil Spikes After US Seizes Iranian Oil Tanker Near Venezuela

US Navy seized a massive oil tanker carrying Iranian crude off the Venezuela coast. Brent crude immediately jumped toward $74–75 per barrel.

Impact on India:

• Higher crude = higher inflation = pressure on RBI to stay hawkish.
• Negative for OMCs (HPCL, BPCL, IOCL), paints, tyres, aviation, and logistics stocks.
• Positive only for upstream players like ONGC and Oil India (marginally).

Mutual Fund SIP Inflows Remain Rock Solid at ₹29,445 Crore in November 2025

Despite market volatility, retail investors continued pouring money through Systematic Investment Plans:

• November SIP inflow: ₹29,445 crore (only marginally lower than October)
• Total equity mutual fund net inflows rose month-on-month
• Small-cap and mid-cap funds saw highest inflows in over a year

This “SIP wall of money” continues to provide strong underlying support to Indian equities even during corrections.

Top Stock-Specific Developments That Moved Prices Today

1. Shakti Pumps, Oswal Pumps, and GK Energy – Massive orders worth ₹400+ crore each from Maharashtra State Electricity Distribution for solar agricultural pumps. Shakti Pumps locked 12% upper circuit.
2. TCS – Announced $700 million all-cash acquisition of US-based Coastal Cloud, a leading Salesforce consulting partner. Also tied up with Microsoft, Infosys, Cognizant, and Wipro for agentic AI adoption push.
3. Oracle Financial Services Software – Parent Oracle (US) plunged 13% post earnings on delayed AI revenue realization fears. Indian subsidiary fell in sympathy.
4. Ola Electric – S&P downgraded promoter ANI Technologies rating citing continued cash burn and liquidity concerns. Stock hit a new all-time low before recovering 6%.
5. MobiKwik – Revealed it is now among India’s top 3 fastest-growing UPI apps with 3x YoY growth. Stock still down 60% from listing price.
6. IndiGo – Offering additional ₹10,000 travel voucher (on top of government-mandated compensation) to passengers affected by December 3–5 fog delays.

Technical Outlook: Nifty & Bank Nifty Key Levels to Watch

Nifty Spot

• Strong support zone: 25,400 – 25,320 (multiple lows respected)
• Immediate resistance: 25,900 – 26,000 (20-DMA + psychological level)
• Break and sustained move above 26,000 opens path to all-time highs again

Bank Nifty

• Weakness visible as private banks lag
• Crucial support: 54,800 – 54,200
• Only a move above 56,200 will confirm strength

Final Takeaway: Short-Term Optimism, Medium-Term Caution

The Fed’s dovish surprise gave Indian markets a solid booster shot, and domestic liquidity via SIPs remains unbreakable. However, a rapidly weakening rupee, delayed US trade deal, rising crude, and continued FII short positions are serious headwinds.

Investors should enjoy the ride while it lasts but keep strict stop-losses and avoid aggressive leverage, especially in small-cap and mid-cap segments where MTF (margin trading facility) funding has reached dangerous levels (over ₹1.2 lakh crore).

The next 2–3 trading sessions will reveal whether this is a genuine risk-on move or just a Fed-induced dead-cat bounce.

Stay disciplined, stay informed, and keep booking partial profits on the way up.