Home / Business and Economy / Indian Stocks Brace for Decline as Trump Imposes 25% Tariffs on Goods
Indian Stocks Brace for Decline as Trump Imposes 25% Tariffs on Goods
31 Jul
Summary
- US President Donald Trump announced 25% tariffs on Indian goods, effective August 1
- Indian stock market indices Sensex and Nifty 50 expected to open lower on Thursday
- US stock market ended mostly lower after Fed policy and Powell's statement
The domestic equity benchmark indices, Sensex and Nifty 50, are expected to open lower on Thursday after the US President Donald Trump announced 25% tariffs on Indian goods, effective August 1. Asian markets traded mixed, while the US stock market ended mostly lower after the US Federal Reserve policy and Chair Jerome Powell's statement.
Market expectations for a Fed rate cut in September fell below 50% in the wake of Powell's comments, according to the LSEG data. On Wednesday, the Indian stock market extended gains for the second consecutive session, with the Nifty 50 closing above 24,800 level. The Sensex rose 143.91 points, or 0.18%, to close at 81,481.86, while the Nifty 50 settled 33.95 points, or 0.14%, higher at 24,855.05.
"Markets are expected to remain in consolidation mode, with stock-specific action likely as the earnings season progresses," said Siddhartha Khemka, Head - Research, Wealth Management, Motilal Oswal Financial Services Ltd.
