Trump's 25% Tariff Announcement Causes Global Market Decline; Potential Impact on Indian Market. Nifty at Support Level of 23,200; Sensex Down 728 Points; Mixed Sentiment in Asian Markets.
Stock Market Today: US President Donald Trump announced a 25% tariff on all non-US-made cars, effective April 2nd. This decision has led to a decline in global markets, potentially impacting the Indian stock market.
Impact on the Indian Market and Other Factors
The Indian market may be influenced by the Nifty F&O monthly expiry, Foreign Institutional Investor (FII) activity, and the semi-annual reconstitution of National Stock Exchange (NSE) indices.
Meanwhile, the GIFT Nifty futures were trading at 23,498.50 at 7:48 AM, down 25 points from its previous close. This suggests a flat or negative market opening.
Nifty Support and Potential Trend
According to Bajaj Broking, Nifty may consolidate in the 23,850-23,200 range. After a sharp 1,900-point rally in just 15 sessions, Nifty's daily stochastic is in overbought territory, increasing the risk of a potential decline. The lower support level is at 23,200, a recent breakout area.
Market Performance on Wednesday
The market broke a seven-day winning streak on Wednesday, closing lower.
Nifty fell 181 points or 0.77% to close at 23,486.85.
The BSE Sensex closed down 728.69 points or 0.93% at 77,288.50. Profit-booking was observed in the latter half of the trading session due to uncertainty surrounding US tariff policy.
Decline in Global Markets
All three major US indices closed significantly lower:
S&P 500 – Down 1.12% to 5,712.20
Dow Jones – Down 0.31% to 42,454.79
Nasdaq Composite – Down 2.04% to 17,899.01
Sharp Decline in Major Tech Stocks
Nvidia – Down 6%
Meta and Amazon – Down over 2%
Alphabet – Down over 3%
Tesla – Down over 5%
Mixed Sentiment in Asian Markets
Asian markets saw fluctuating trends on Thursday.
Japan's Nikkei 225 – Down 0.99%
Topix Index – Down 0.48%
South Korea's Kospi – Down 0.94%
Kosdaq – Down 0.74%
Chinese markets registered gains.
