Key Highlights:
- Sensex dropped 586 points, Nifty fell 203 points.
- US imposed 25 percent tariff on Indian goods, sparking global sell-off.
- FIIs sold shares worth Rs 5,588.91 crore on Thursday.
Mumbai: Stock markets in India closed lower for the second day in a row on Friday. The Sensex fell by 585.67 points, or 0.72 percent, ending the day at 80,599.91. The Nifty also dropped 203 points, or 0.82 percent, to settle at 24,565.35.
Markets were hit hard after US President Donald Trump imposed fresh tariffs on goods from many countries, including a 25 percent duty on Indian exports. This led to fears of a trade war, affecting investor confidence across the globe.
Global Trade Tensions Worsen Sentiment
The new US tariffs were announced through an executive order called 'Further Modifying The Reciprocal Tariff Rates', targeting around 70 countries. Although India was slapped with a 25 percent tariff, the order didn’t include any mention of penalties for buying military and energy goods from Russia—something Trump had earlier warned about.
The move has caused global markets to react negatively, including markets in Asia, Europe, and the US, all of which ended in red. Investors are worried that these tariffs could slow down global trade and hurt company profits.
Metal, IT and Pharma Stocks Drag Market
Most sectors saw selling pressure. Big losers from the Sensex included Sun Pharma, which fell 4.43 percent after it posted a 20 percent drop in quarterly profit. Other losers were Tata Steel, Maruti, Infosys, Tata Motors, Tech Mahindra, and Bharti Airtel.
However, some stocks managed to stay in the green. These included Trent, Asian Paints, ITC, Hindustan Unilever, Kotak Mahindra Bank, and Reliance Industries.
Foreign Investors Pull Out, Oil Prices Dip
Foreign Institutional Investors (FIIs) continued their selling streak, offloading equities worth Rs 5,588.91 crore on Thursday. This added to the selling pressure in Indian markets.
Meanwhile, global oil prices also eased slightly. Brent crude dropped 0.39 percent to USD 71.42 per barrel, giving some relief on the inflation front.
(With PTI Inputs)
