Indian Equities Open Flat; Nifty, Sensex Take a Breather After 4 Per Cent Jump in Two Sessions
The broader markets remained resilient, with the Mid-cap rising 0.1 per cent and the Small-cap advancing 0.3 per cent.
Market Update at 09:45 AM: India’s benchmark indices opened flat on Wednesday, pausing after two days of strong gains, as market participants weighed the impact of recent tariff announcements by the U.S.
At 9:17 a.m. IST, the Nifty 50 slipped 0.14 per cent to 23,344.10, while the Sensex edged lower by 0.11 per cent to 76,646.97.
The indexes had surged about 4 per cent over the previous two sessions, allowing the Sensex to recover from early-month losses following reciprocal tariff measures announced by U.S. President Donald Trump on April 2.
Meanwhile, the broader markets remained resilient, with the Mid-Cap rising 0.1 per cent and the Small-Cap advancing 0.3 per cent.
Pre-Market Update at 8:15 AM: Indian stock markets are likely to see a negative start on Wednesday, as benchmark indices Sensex and Nifty 50 may open lower, influenced by global market weakness.
Gift Nifty was quoting near the 23,273 mark, showing a discount of about 68 points compared to the previous close of Nifty futures. This signals a potentially subdued opening for the Indian stock market indices.
U.S. markets ended Tuesday in the red as concerns over tariffs weighed on investor sentiment, despite some support from strong banking sector earnings. The Dow Jones Industrial Average slipped by 155.83 points (0.38 per cent) to close at 40,368.96. The S&P 500 edged down 9.34 points (0.17 per cent) to 5,396.63, while the Nasdaq Composite dipped 8.32 points (0.05 per cent) to finish at 16,823.17.
India is set to deepen its trade ties with the United States as part of a broader strategy of trade liberalisation, according to the country’s trade secretary. Both nations have signed the terms of reference for the initial phase of a bilateral trade agreement, which they aim to finalize by the end of this year. The long-term objective is to boost bilateral trade to USD 500 billion by 2030.
On the economic front, India’s retail inflation, measured by the Consumer Price Index (CPI), cooled to its lowest level in over six years in March. CPI inflation stood at 3.34 per cent for the month, down from 3.61 per cent in February and 4.85 per cent during the same period last year.
Trade data for March showed that India’s exports rose slightly by 0.7 per cent year-on-year to USD 41.97 billion. Imports, however, saw a sharper increase of 11.3 per cent to USD 63.51 billion, leading to a trade deficit of USD 21.54 billion. For the full financial year 2024–25, cumulative exports edged up by 0.08 per cent to USD 437.42 billion, while imports grew by 6.62 per cent to USD 720.24 billion.
Asian markets declined on Wednesday, mirroring the losses seen on Wall Street the previous night, as investors remained cautious over tariff-related concerns and awaited the release of China’s GDP data.
On Tuesday, the Indian stock market extended its winning streak for a second straight session, buoyed by fading concerns over the trade war and increasing optimism that India may face limited impact from US-imposed tariffs.
The Sensex surged by 1,577.63 points (2.10 per cent) to end the day at 76,734.89, while the Nifty 50 climbed 500 points (2.19 per cent) to close at 23,328.55.
Gold prices climbed sharply, reaching record levels due to a weakening US dollar, rising trade tensions, and uncertainty over global economic growth. Spot gold advanced by 1.1 per cent, trading at USD 3,261.79 per ounce after earlier touching a new all-time high of USD 3,266.65. Meanwhile, US gold futures jumped 1.2 per cent to settle at USD 3,279.20.
Crude oil prices saw a slight uptick as changing US trade policies added to market unease. Brent crude inched up by 0.15 per cent to USD 64.77 per barrel, while West Texas Intermediate (WTI) futures also rose 0.15 per cent, reaching USD 61.42.
On April 15, 2025, foreign institutional investors (FII) bought shares worth Rs 6,065.78 crore, while domestic institutional investors (DII) sold shares worth Rs 1,951.60 crore.
Stocks that are banned for trading in the F&O segment on April 16, 2025, are Birlasoft Ltd, Hindustan Copper Ltd, Manappuram Finance Ltd, and National Aluminium Co Ltd.
Disclaimer: The article is for informational purposes only and not investment advice.