Benchmark stock indices ended sharply lower on Thursday as investor sentiment took a hit following renewed tariff threats from US President Donald Trump. The sell-off was broad-based, with heightened volatility and steep declines across key sectors.
The S&P BSE Sensex fell 765.47 points to close below the psychological 80,000 mark, while the NSE Nifty50 dropped 232.85 points to settle at 24,363.30. Midcap and smallcap stocks witnessed deeper cuts, reflecting growing investor unease over the evolving global trade scenario.
Vinod Nair, Head of Research at Geojit Financial Services, said the Indian equity market slipped to a three-month low, weighed down by concerns over the impact of US tariffs on Indian exports. “FIIs remained net sellers, intensifying the pressure on domestic indices. The pessimism was broad-based, with realty and metals bearing the biggest brunt,” Nair noted.
Adding to the gloom, global financial institutions have begun trimming India’s growth forecasts for 2025 and 2026, citing uncertainty around trade policy and its spillover effects on macroeconomic stability. With the future of India-US trade talks now under fresh strain, market watchers are bracing for continued volatility in the near term.
The sharp correction comes amid fears that escalating trade tensions could derail India’s export momentum, particularly in sectors like steel, aluminium, and textiles, which are likely to be hit hardest by new US duties.
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