The Indian stock market extended its losing streak on Tuesday, with both Sensex and Nifty closing significantly lower as investor sentiment took a hit following the latest tariff measures announced by former US President Donald Trump.
At the closing bell, Sensex dropped by 1,018.20 points, or 1.32%, settling at 76,293.60. During the trading session, the index fluctuated between a high of 77,387.28 and a low of 76,030.59. Similarly, the Nifty ended the day down by 309.80 points, or 1.32%, closing at 23,071.80, after touching an intraday high of 23,390.05 and a low of 22,986.65.
The sell-off was widespread, with 44 out of the 50 Nifty stocks finishing in the red. Eicher Motors, Apollo Hospitals, Shriram Finance, Coal India, and Bharat Electronics led the losses, declining up to 6.7%. In contrast, only six stocks—Adani Enterprises, Trent, Grasim, Bharti Airtel, and Hindalco—managed to stay in positive territory, with gains of up to 0.76%.
Broader markets faced even sharper declines, with the Nifty Smallcap 100 falling 3.45% and the Nifty Midcap 100 losing 3.02%. Sectoral indices across the board ended in negative territory, with the PSU Bank, Auto, Healthcare, Realty, and Media indices registering losses of up to 3.28%. Sectors such as IT, FMCG, and consumer durables also ended lower by over 1% each.
The sell-off was fueled by concerns over the impact of US tariffs on global trade. Trump’s announcement of a 25% tariff on steel and aluminum imports has raised fears of trade disruptions, with India among the affected economies. The Indian Steel Association (ISA) has urged the government to push for the removal of longstanding anti-dumping and countervailing duties while seeking exemptions from these restrictive measures. ISA warned that the latest tariffs could reduce steel exports to the US by 85%, potentially flooding the domestic market with surplus supply.
Market analysts believe that investors should focus on hedging and diversification strategies in the current volatile scenario. “The concerns around impending trade wars and countermeasures could impact India. Investors should seek fresh opportunities in this bear market and plan their moves accordingly,” said VLA Ambala, SEBI-registered research analyst and co-founder of Stock Market Today.
Adding to market woes, continued foreign portfolio outflows and weak domestic economic growth have weighed on investor sentiment. The recent interest rate cut by the Reserve Bank of India (RBI) also failed to provide much relief amid heightened global uncertainty.
-ANI
