Indian equities have weathered the storm better than global peers this month. In the month to date, the Nifty and the Sensex have slipped 2.9 per cent each. In comparison, US indices have slid 5.3-5.7 per cent, while key European indices fell 4-6 per cent. Among Asian indices, Hang Seng is the top loser, down over 9 per cent. Only Spain, Australia and Japan indices have fared better than India.
President Donald Trump signed an executive order on April 2, imposing a minimum 10 per cent tariff on all US imports effective April 5. Higher tariffs on imports from 57 countries that were supposed to kick in from April 9 have been put on hold for 90 days for all countries except China. The 10 per cent tariff remains in effect.
Rahul Singh, CIO-Equities, Tata Asset Management, said: “The recent global tariff changes have added uncertainty to markets, but India is better positioned than before. With lower exposure to US trade and strong domestic demand, the direct impact remains manageable. In fact, falling global prices of crude and metals may support Indian companies by reducing input costs. Sectors like banking, pharma, and energy now offer attractive value with solid balance sheets.”
Stock markets on Friday surged with benchmark indices posting robust gains following the US decision to pause reciprocal tariffs on most countries for 90 days. The BSE Sensex closed at 75,157.26, jumping 1,310.11 points or 1.77 per cent, while the NSE Nifty 50 climbed 429.40 points or 1.92 per cent to finish at 22,828.55, nearly erasing the week’s earlier losses.
Metal stocks emerged as the day’s star performers, with the Nifty Metal index surging 4 per cent. Hindalco Industries led the gainers with a 6.70 per cent jump to ₹601.80, followed by JSW Steel and Tata Steel, which rose 4.99 per cent and 4.95 per cent, respectively. Coal India gained 4.60 per cent, while Jio Financial Services advanced 4.29 per cent.
The broader market also participated in the rally, with the Nifty Midcap 100 index rising 1.85 per cent to 50,501.50 and the Smallcap 100 index gaining 2.80 per cent. Market breadth was overwhelmingly positive, with 3,115 stocks advancing against 846 declining on the BSE, resulting in an advance-decline ratio of 3.68, its highest since March 5.
All sectoral indices ended in the green, with Metal, Consumer Durables, Pharma, and Oil & Gas registering substantial gains. The market’s fear gauge, India VIX, declined sharply by 6.17 per cent to 20.11, indicating easing investor anxiety.
Among the day’s few losers were Asian Paints, which fell 0.75 per cent to ₹2,393, Apollo Hospitals, down 0.53 per cent to ₹6,798, and TCS, which dropped marginally by 0.26 per cent to ₹3,238.
Despite Friday’s strong performance, the Nifty ended the week marginally lower by 0.34 per cent. Foreign Portfolio Investors (FPIs) have remained net sellers in April, with outflows totalling ₹32,122.76 crores month-to-date, according to Shrikant Chouhan, Head of Equity Research at Kotak Securities.
Looking ahead, market participants will closely monitor global developments, particularly US-China trade tensions, as well as the ongoing Q4FY25 earnings season, which has shown mixed results so far.
“We expect the index to consolidate in the range of 23,050-22,250 in the coming truncated week. During this consolidation phase, volatility is expected to remain elevated amid tariff-related developments and the progress of the Q4 earnings season,” noted Bajaj Broking Research in its market commentary.
Published on April 11, 2025
