Sensex tanks as Trump tariffs rattle markets

Mumbai

Indian stock markets closed sharply lower on Friday, reacting to the global uncertainty caused by US President Donald Trump's announcement of steep reciprocal tariffs. The Sensex ended the day at 75,364.69, dropping 930.67 points or 1.22%, while the Nifty settled at 22,904.45, down by 345.65 points or 1.49%.

Earlier in the day, the Sensex had fallen over 1,000 points before recovering slightly. Major sectors like IT, metal, pharma, real estate, and oil and gas saw heavy selling pressure.

This week alone, the Sensex declined by nearly 2,100 points following the implementation of Trump’s "Fair and Reciprocal Plan." Under this policy, the US aims to match tariffs imposed by other countries, including India, to level the trade playing field.

President Trump’s executive order imposes additional ad valorem duties ranging from 10% to 50% on all imports, with a 27% duty specifically targeting Indian goods. The base duty of 10% will start from April 5, with the remaining duties coming into effect from April 9.

Vinod Nair of Geojit Investments said the unexpected tariff hike has shaken global markets and added uncertainty due to the risk of retaliatory measures. He also noted that while the direct impact on India is less than on some other economies, it's still more significant than first expected.

Market expert Shrikant Chouhan from Kotak Securities said Indian markets fared slightly better than global peers but continue to face pressure amid ongoing global trade tensions.