Nifty settles near 7,950 on December F&O expiry

Markets scaled higher on the last day of December derivatives series due to strength in energy and index heavyweight shares such as HDFC and Infosys.

The S&P BSE Sensex ended higher 158 points at 26,118 and Nifty50 ended up 50 points at 7,946.

However, the broader markets took a breather today and underperformed the benchmark indices with BSE Midcap and Smallcap indices ended up 0.4%-0.5%. Market breadth ended positive with 1,466 gainers and 1,168 losers on the BSE.

"2015 has been extremely eventful for the stock market. The markets hit an all-time high with the Sensex and the Nifty surpassing the 30,000 and 9000 levels despite several odds such as deficient monsoon, shaky global markets and subdued corporate earnings," says Kamlesh Rao, CEO, Kotak Securities.

"However, going forward, we expect to see a gradual rise in markets backed by greater confidence in corporate earnings in FY17 coupled with robust economic growth. We expect the India Inc. bottom line to start improving over the next few months. We believe that, the Fed rate hike was already been discounted by the markets hence we have not seen any major volatility in the markets post the US Fed announcement. We do not see any immediate impact of the same, going ahead. This is because the Fed commentary was not that hawkish. Future expectations on rate hikes will be triggered by the data which comes up over the next few months in US,' he further adds.

In the overseas market, Asian share markets looked set to end a rough, volatile year on a subdued note on Thursday as a renewed slide in oil prices sapped sentiment, a baleful trend that shows every sign of lingering into 2016.

European markets were also poised for a sluggish finish to 2015. Australia's main index closed down 0.5%, widening losses for 2015 to 2.1%.

China's Shanghai Composite index and CSI300 both slipped about 0.4% on Thursday.

National Stock Exchange of India Ltd (NSE)

Bombay Stock Exchange - BSE