Sensex, Nifty Open Lower On Geopolitical Tensions And India–US Trade Uncertainty

Indian benchmark indices opened lower on Monday, reflecting investor caution amid rising geopolitical tensions and uncertainty over the India-US trade deal.

As of 9:22 AM, the Sensex slipped 95 points, or 0.44 per cent, to 83,212, while the Nifty eased by 95 points, or 0.37 per cent, to 25,588.

Broad-cap indices followed the benchmark trends, with the Nifty Midcap 100 down 0.33 per cent and the Nifty Smallcap 100 declining 0.57 per cent.

Sectorally, all indices except metal and FMCG traded in the red. Pharma, realty and media led losses, falling over 1.4 per cent each.

Key Technical Levels to Watch

Market analysts pointed out that immediate Nifty support lies in the 25,500–25,600 zone. They added that a sustained breakout above 25,800–25,850 would be crucial to stabilise near-term momentum.

Investor sentiment was dampened by unusual remarks from the US administration, which have complicated the US-India trade deal.

Global uncertainties, including the crises in Venezuela and Iran, as well as President Donald Trump’s statements on Greenland, have contributed to heightened volatility, reflected in the rising India VIX index.

Additionally, investors remain attentive to an expected ruling from the US Supreme Court on Trump-era tariffs, which had not materialised last week.

Analysts note that corporate results for Q3 and commentary from tech majors and large-cap banks are likely to influence near-term market trends.

While Indian markets opened lower, Asia-Pacific equities traded higher in the morning session, buoyed by Wall Street gains from last week.

China’s Shanghai Composite gained 0.75 per cent, Shenzhen added 1.31 per cent, and Japan’s Nikkei advanced 1.61 per cent. Hong Kong’s Hang Seng rose 0.74 per cent, while South Korea’s Kospi increased 1.08 per cent.

US markets had ended higher in the previous session, with Nasdaq up 0.82 per cent, the S&P 500 gaining 0.65 per cent, and the Dow rising 0.48 per cent, supported by strong US jobs data indicating labour market resilience.

On January 9, foreign institutional investors (FIIs) were net sellers of equities worth Rs 8,808 crore, whereas domestic institutional investors (DIIs) purchased equities worth Rs 15,700 crore.

Analysts say that these flows, alongside global developments and domestic earnings, will continue to shape market direction in the coming days.

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