Stock Market Ends Lower As Investors Take Cautious Approach On US Tariffs

The Indian stock market closed lower on Thursday as investors remained cautious after US President Donald Trump announced new tariffs.

The new structure imposes a 10% tax on all US imports, with higher rates for countries with a trade surplus. India will now face a 27% tariff.

The Sensex dropped 322.08 points, or 0.42%, to close at 76,295.36. It fluctuated between an intraday high of 76,493.74 and a low of 75,807.55.

The Nifty also declined, falling 82.25 points, or 0.35%, to end at 23,250.10.

“The market sentiment weakened after Trump’s 26% reciprocal tariff on Indian imports. This led to investor caution and market volatility,” said Sundar Kewat of Ashika Institutional Equity.

Tech stocks led the losses, with TCS, HCL Tech, Tech Mahindra, Infosys, and Tata Motors declining by up to 4.02%.

The Nifty IT index fell 4.21%, pulled down by Persistent Systems, Coforge, TCS, and Mphasis. Auto, oil & gas, and realty stocks also struggled.

However, pharma stocks performed well. The Nifty Pharma index climbed 2.25%, with Power Grid Corporation, Sun Pharma, Ultratech Cement, NTPC, and Asian Paints gaining up to 4.57%. Banking, healthcare, FMCG, and consumer durables stocks also rose, gaining up to 1.94%.

Despite the overall decline, smallcap stocks outperformed. The Nifty Smallcap100 index gained 0.58%.

“The market initially attempted a recovery but ended lower after the tariff announcement,” said Vinod Nair of Geojit Investments Limited.

The rupee traded in a volatile range of 85.75 to 85.35 but ended flat.

Analysts expect investors to stay cautious about global developments.

Also Read: Sensex, Nifty Open Lower As US President Trump’s Tariffs Trigger Global Market