Indian equity indices ended on a negative note, with Nifty closing at 22,400 on April 9.
At close, the Sensex was down 379.93 points or 0.51 percent at 73,847.15, and the Nifty was down 136.70 points or 0.61 percent at 22,399.15. Today’s fall was largely attributed to escalating global trade tensions, particularly the imposition of a 26% tariff on Indian goods by the U.S., which heightened investor concerns about potential economic impacts.
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Despite the Reserve Bank of India’s (RBI) decision to cut interest rates by 25 basis points to stimulate growth, market sentiment remained cautious. The broader market also suffered, with the BSE Midcap and Smallcap indices dipping by 0.8 percent and 1 percent, respectively. Sector-wise, IT and pharmaceutical stocks were among the hardest hit, with the IT sector declining by 2.3 percent due to its significant exposure to the U.S. market.
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Except for Consumer Durables (up 0.3 percent) and FMCG (up 1.5 percent), all other sectoral indices ended in the red, with Realty, IT, and PSU Bank down 2 percent each. Among the major losers on the Nifty were Wipro, SBI, Tech Mahindra, L&T, and Trent. Gainers included Nestle, HUL, Tata Consumer, Titan Company, and Power Grid Corp.
Rajesh Sinha, Research Analyst at Bonanza, mentioned that today’s market performance was influenced by escalating global trade tensions, which overshadowed the RBI’s rate cut decision.
Global tariffs impact market sentiment
The broader market also faced pressure, with significant declines in the Midcap and Smallcap indices.
Prashanth Tapse, Senior VP (Research) at Mehta Equities, pointed out that volatility is likely to continue in the near term, with a negative bias due to the uncertainty caused by the US decision to impose differential import tariffs. Rupak De, Senior Technical Analyst at LKP Securities, noted that Nifty continues to trade below the upper band of the falling channel and the 21-day EMA, indicating short-term weakness and resistance near 22,500. The trend is expected to stay weak below this level, with potential declines toward 22,000.
Ajit Mishra, SVP of Research at Religare Broking, observed that the market’s choppy trend persisted, and sentiment took a hit following the announcement of fresh U.S. tariffs on China. The outcome of the MPC meeting—where a 25-bps rate cut was announced—failed to evoke any meaningful market reaction. Vinod Nair, Head of Research at Geojit Investments, commented that global financial markets are witnessing renewed selling pressure following the enactment of reciprocal tariffs.
In India, the rate cut and the accommodative policy stance were constructive steps, but they failed to uplift overall market sentiment amid escalating global risks. Aditya Gaggar, Director of Progressive Shares, stated that after an initial decline, the Index remained range-bound for the rest of the day, ultimately closing with a loss. He noted that the support level for the Index remains at 22,270, while the resistance level has shifted to 22,530.
The Indian rupee ended 45 paise lower at 86.69 per dollar, reflecting broader market volatility and caution among investors.
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