Indian stock markets plunged on Tuesday, the first trading session of the new financial year, as investors reacted to global trade tensions ahead of the US reciprocal tariff announcement on Wednesday.

The Sensex tumbled 1,390.41 points, or 1.80 percent, closing at 76,024.51, after swinging between an intra-day high of 77,487.05 and a low of 75,912.18. The Nifty 50 also slumped 353.65 points, or 1.50 percent, to settle at 23,165.70, with an intra-day range of 23,565.15 to 23,136.40.

The selloff was broad-based, with most Sensex stocks ending in the red, except Zomato, IndusInd Bank, and State Bank of India (SBI).

Top losers included HCL Technologies, Bajaj Finserv, HDFC Bank, Bajaj Finance, and Infosys, which declined up to 3.66 percent.

Midcap and smallcap stocks also faced pressure. Nifty Midcap100 lost 0.86 percent, while Nifty Smallcap100 dipped 0.70 percent.

The BSE Midcap index dropped 0.9 percent, whereas the Smallcap index edged up 0.2 percent.

Sectorally, IT, real estate, and consumer durables fell nearly 2 percent each, while media, oil & gas, and telecom stocks managed to stay positive.

Investor sentiment turned jittery, with India VIX—known as the fear index—surging 8.37 percent to 13.78, indicating increased market uncertainty.

“Amid heightened global volatility ahead of the anticipated US reciprocal tariff announcement tomorrow (US time), the domestic market witnessed a significant sell-off today. Investors are eagerly awaiting the specifics of these tariffs while also keeping a close eye on ongoing negotiations for a potential Indo-US trade agreement,” said Vinod Nair, Head of Research, Geojit Investments Limited.

The IT sector bore the brunt of the selloff due to its heavy exposure to the US market, while real estate stocks tumbled after Maharashtra raised ready reckoner rates, impacting property valuations.

(With IANS inputs)