Market Commentary - Mid-Session
The domestic equity indices traded with decent losses in early trade as weak global cues and U.S. President Donald Trump's broad tariff announcements heightened concerns about a potential global recession. The Nifty traded below the 23,100 level. Barring the Nifty Bank index, all the other sectoral indices on the NSE were traded in red.
At 09:30 IST, the barometer index, the S&P BSE Sensex, slumped 496.57 points or 0.65% to 75,798.79. The Nifty 50 index declined 180.35 points or 0.78% to 23,069.75.
In the broader market, the S&P BSE Mid-Cap index declined 1.41% and the S&P BSE Small-Cap index slipped 1.46%.
The market breadth was weak. On the BSE, 861 shares rose and 1,975 shares fell. A total of 120 shares were unchanged.
Foreign portfolio investors (FPIs) sold shares worth Rs 2,806 crore, while domestic institutional investors (DIIs) were net buyers to the tune of Rs 221.47 crore in the Indian equity market on 3 April 2025, provisional data showed.
Stocks in Spotlight:
Dee Development Engineers added 1.45% after the company said that it has received an order worth Rs 55 crore from a new customer for the supply of prefabricated carbon, alloy, & stainless-steel piping items for a thermal power station.
Surya Roshni rose 1.02% after the company announced that it has bagged an order worth Rs 116.15 crore from GAIL India for supplying coated pipes.
Numbers to Track:
The yield on India's 10-year benchmark federal paper was up 1.40% to 6.590 as compared with previous close 6.601.
In the foreign exchange market, the rupee edged higher against the dollar. The partially convertible rupee was hovering at 84.9850, compared with its close of 85.3000 during the previous trading session.
MCX Gold futures for 5 June 2025 settlement shed 0.67% to Rs 89,478.
The US Dollar index (DXY), which tracks the greenback's value against a basket of currencies, was down 0.27% to 101.67.
The United States 10-year bond yield tumbled 2.05% to 3.972.
In the commodities market, Brent crude for June 2025 settlement fell 64 cents or 0.91% to $69.50 a barrel.
Global Markets:
Futures tied to the Dow Jones Industrial Average nosedived 148 points early Friday, setting the stage for a jittery open on Wall Street.
Asian markets extended losses, tracking the sharp declines in U.S. equities overnight following the announcement of new U.S. tariffs. Markets in Hong Kong and China remained closed due to the Qingming Festival.
On Wednesday, U.S. President Donald Trump introduced a new tariff policy applying reciprocal rates to over 180 countries and territories. The move has heightened concerns of a potential global trade conflict, prompting a broad-based sell-off in equities.
Overnight in the U.S., the three major averages plummeted. The S&P 500 slid back into correction territory, dropping 4.84% to 5,396.52. The Dow Jones Industrial Average tumbled 1,679.39 points, or 3.98%, to close at 40,545.93 and the Nasdaq Composite fell 5.97% to end at 16,550.61, logging its biggest decline since March 2020.
Apple Inc. shares declined more than 9% amid investor concerns over the impact of the new 54% tariff on Chinese imports. As Apple relies heavily on Chinese manufacturing and global supply chains, the tariffs are expected to increase production costs, potentially pressuring profit margins or leading to higher consumer prices.
Retailers were also hit hard, with Nike Inc stock falling more than 14%. Meanwhile, plane maker Boeing Co shares declined 11%. Tesla Inc shares closed 5.5% lower, while NVIDIA Corporation lost 8%.
Investors are now focused on the upcoming U.S. payrolls report and a speech from Federal Reserve Chair Jerome Powell for further insight into the labor market and potential implications for monetary policy.
Powered by Capital Market - Live News