Closing Bell: Markets weather Trump tariff blitz, Nifty at 23,250, Sensex down 322 pts

Indian equity indices ended lower on April 3 with Nifty around 23,250 post US tariff announcements. At close, the Sensex was down 322.08 points or 0.42 percent at 76,295.36, and the Nifty was down 82.25 points or 0.35 percent at 23,250.10.

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After showing a decent upside bounce on Wednesday, Nifty slipped into weakness on the backdrop of the announcement of Reciprocal Tariffs by US President Donald Trump yesterday night and Nifty closed the day lower by 82 points on Thursday with range bound action. Nifty witnessed sharp intraday recovery after a gap down opening in the early part of the session of Thursday. It later shifted into a range bound action in the mid to later part of the session.

A reasonable positive candle was formed with long upper shadow. Technically, this market action indicates a range bound movement in the market with weak bias. This signals that the crucial global event has been passed out without any major damage to the underlying trend of the market.

The underlying short-term trend of Nifty is range bound with weak bias. Nifty is in the process of forming a new higher bottom reversal pattern around the support of 23100 levels. A sustainable move above the hurdle of 23350 could change the trend and pull Nifty towards the next overhead resistance of around 23650 levels in the near term.

Domestic stock market closed on a negative note today, with the Sensex falling by 322.08 points to end at 76,295.36 and the Nifty 50 settling at 23,250. This downturn was primarily driven by the announcement of sweeping reciprocal tariffs by US President Donald Trump, which included a 26% tariff on imports from India. The news triggered a global market selloff, with US equity futures experiencing significant declines. In India, the IT sector was particularly affected, with the Nifty IT index plummeting nearly 4.21% due to the tariff implications on technology exports.

Despite some resilience shown by sectors like pharma and PSU Bank, the overall sentiment remained bearish. Overall, the tariffs imposed by the US have introduced significant uncertainty and risk for Indian exporters, contributing to the downside movement in the market.

The Nifty opened lower following weak global cues but recovered immediately. Sentiment remains strong as the Indian market showed resilience despite weak global equity trends led by Trump's tariffs.

Short-term support is placed at 23,100, and as long as the Nifty stays above this level, the trend is likely to remain strong. On the higher end, it may move towards 23,430, and a decisive move above this level could trigger a stronger rally.

Rupee ended flat but traded in a volatile range between 85.75 and 85.35, as markets reacted to Trump’s reciprocal tariff policy. However, the impact on India was seen as limited, with key sectors like Pharma and FMCG largely unaffected.

Despite an initial gap-down opening, rupee saw strong support due to dollar weakness, leading to a sharp recovery. Moving forward, rupee is expected to trade within the 85.00-85.90 range, with global cues and FII flows guiding the trend.

The announcement of tariffs negatively impacted Indian equities, leading to a sluggish market opening. However, strong buying interest at lower levels helped limit the losses, and the Index ultimately closed at 23,250.10 with a decline of 82.25 points. Among the sectors, Pharma and PSU Banks were the top performers, while IT and Auto stocks underperformed. The Broader markets showed resilience, with Mid and Smallcaps gaining by 0.21% & 0.58%, respectively, outperforming the Frontline Index.

Currently, the Index is oscillating within a narrow range of 23,140-23,350, and a breakout on either sides is crucial for clear market direction.

Markets ended slightly lower on the weekly expiry day, largely weighed down by weak global cues. The Nifty index opened lower in response to the US tariff announcements but saw some recovery due to resilience in select heavyweight stocks. This helped trim losses in early trades, leading to a range-bound session before closing at 23,250.10.Sectoral trends remained mixed, keeping traders engaged—pharma and banking, particularly PSU banks, outperformed, while IT and auto sectors lagged. Broader markets, however, maintained their strength, with both midcap and smallcap indices closing in the green.

The market’s measured response to the US tariffs reflects expectations of ongoing trade discussions between India and the US, as well as the possibility of higher tariffs impacting other countries more significantly, limiting the impact on Indian exports.

From a technical perspective, traders should closely monitor the 20-day exponential moving average (DEMA) at 23,100. A break below this level could intensify selling pressure, potentially dragging the index toward 22,800. Conversely, holding above this level would likely sustain the range-bound movement. Amidst this consolidation, selective pockets across sectors are showing strength. Until a clear directional move emerges, the focus should remain on stock-specific opportunities.

The domestic market initially showed signs of recovery but ended with modest losses after the announcement of a relatively lower 26% tariff on US imports. The IT and auto sectors experienced selling pressure due to US slowdown concerns and disruptions in the supply chain. Conversely, pharmaceutical stocks benefited from being exempt from the tariffs. Nonetheless, robust domestic macroeconomic data and lower crude oil prices aided the broader market performance. Although the tariff presents short-term challenges, India's economic resilience and bilateral trade agreement may help mitigate the overall impact.

Indian rupee ended 7 paise higher at 85.44 per dollar on Thursday versus Wednesday's close of 85.51.

Indian equity indices ended lower on April 3 with Nifty around 23,250 post US tariff announcements.

At close, the Sensex was down 322.08 points or 0.42 percent at 76,295.36, and the Nifty was down 82.25 points or 0.35 percent at 23,250.10. About 2724 shares advanced, 1119 shares declined, and 132 shares unchanged.

TCS, HCL Technologies, Tech Mahindra, Infosys, ONGC were among major losers on the Nifty, while gainers included Power Grid Corp, Sun Pharma, UltraTech Cement, Cipla, Shriram Finance.

BSE Midcap index was up 0.3 percent and smallcap index was up 0.7 percent.

On the sectoral front, IT index shed 4 percent, auto index slipped 1 percent, while pharma index added 2 percent, PSU Bank index rose 1.9 percent, power index jumped 1.8 percent.

Rajasthan Part I Power Transmission, a subsidiary of Adani Energy Solutions, has awarded a major contract to a consortium comprising Hitachi Energy India Limited and Bharat Heavy Electricals Limited (BHEL).

The contract will see the consortium design and deliver high-voltage direct current (HVDC) terminals to transmit renewable energy from the Bhadla area of Rajasthan to the industrial and transport hub in Fatehpur, Uttar Pradesh. The 6,000 megawatt (MW), 950 km HVDC link can power approximately 60 million households in India.

The Sensex was down 316.47 points or 0.41 percent at 76,300.97, and the Nifty was down 88.00 points or 0.38 percent at 23,244.35. About 2470 shares advanced, 1050 shares declined, and 98 shares unchanged.

The company through its wholly owned subsidiary Jindal Steel Odisha Limited (JSO) has acquired shareholding in Allied Strips.

The Board has approved the change in the name of the company from Dhampur Bio Organics to Divija Bio Organics, subject to the approval of shareholders.

The company's subsidiary, Ecuhold NV, has acquired an additional 10% stake in Ecu Worldwide (Japan), effective from March 31, for $0.22 million. Post-acquisition, Ecuhold NV holds a 100% stake in Ecu Worldwide (Japan).

Shakti Pumps has secured an order worth INR 124.2 million from the Maharashtra Energy Department.

Dayashankar Patel has resigned from the position of Chief Financial Officer of the company due to personal reasons, effective April 15.

Recent imposition of a 26% reciprocal tariff by the US on Indian imports has triggered sharp market reactions in the Indian stock market. Key sectors such as automobiles, IT services, and engineering goods are expected to bear the brunt, as they are heavily reliant on exports to the US. For instance, the auto

sector faces not only the 26% tariff but also an additional 25% tariff on imported automobiles and auto parts, which could severely affect companies like Tata Motors, whose shares have already seen a decline following the announcement.

On the other hand, pharmaceuticals, a crucial export sector for India, have been exempted from these tariffs, providing temporary relief to major drugmakers like those exporting to the US, which remains their largest market. Despite this exemption, uncertainty looms over future tariff

revisions.

Indian stock market reacted sharply to the news, reflecting investor concerns about dampened exports and strained trade relations. The impact on India's GDP growth is also a concern, as these tariffs could lead to reduced competitiveness and demand for Indian products in the US market.

While India is considering slashing tariffs on US imports to mitigate the effects, no concrete deal has been finalized yet. The situation presents both challenges and opportunities for India, as it may gain a competitive edge over countries like China and Vietnam, which face even higher tariffs.

The company has entered into a one-time settlement with the non-assignee lenders, covering 6.27% of the 14.56% of non-assignee lenders.

The company emerged as the successful bidder for the Fortis Marks (Fortis’ trademarks and allied marks). The Delhi High Court has confirmed the sale of the Fortis Marks and all attendant rights and liabilities in favour of the company pursuant to the public auction process.

The government has appointed H Shankar as Managing Director of the company, effective April 2. At the time of appointment, H Shankar was Director (Technical) of the company and was also holding additional charge of Managing Director.

The Sensex was down 273.65 points or 0.36 percent at 76,343.79, and the Nifty was down 61.90 points or 0.27 percent at 23,270.45. About 2347 shares advanced, 1073 shares declined, and 118 shares unchanged.

The company registered a sales volume of 54,256.30 Ton in Q4FY25 compared to 51,669.01 Ton in Q3FY25 and 47,506.68 Ton in Q4FY24.

For 12MFY25, the company reported sales volume of 194,212.53 Ton compared to 178,644.50 Ton in 12MFY24.

The Board has approved the setting up of a manufacturing unit for vacuum-insulated stainless-steel flasks, bottles, and containers in Rajasthan through the company’s wholly owned subsidiary, Stylenest India. The estimated capex is Rs 40 crore.

The Board members of Caplin Point Far East, Hong Kong, a material subsidiary of the company, approved the investment in Neoethicals Chile SpA through the purchase of all its shares.

Shilpa Medicare’s marketing partner, Amneal Pharmaceuticals, has launched BORUZU, (Bortezomib for injection3.5mg/1.4ml), a new presentation of bortezomib for ready-to-use subcutaneous administration or intravenous (IV) administration.

The imposition of very high reciprocal tariffs by the US on its major trading partners, including India, will likely have large negative consequences for global and US GDP growth, global and US inflation, and the profitability of certain sectors and companies in India.

A tariff has been imposed on India, although there is no specific tariff that has been imposed on IT services.

Notably, the US economy has weakened in recent months. Naturally, the deterioration in the macro environment will weigh on Q4FY25 numbers and FY26E guidance. We expect a sequential revenue decline for all large Indian IT service companies for the Mar’25 quarter due to seasonal weakness, lower billing days, and marginal deterioration in demand. The fallout of tariff threats by the US is a slowdown and uncertainty in spending. The Nifty IT Index has corrected ~20% in the last three months due to concerns over the recession in the US and the tariff war. Investors are catching their breath and evaluating whether the negatives are already priced in.

Any imposition of retaliatory tariffs on US exports by the US’s trading partners could add to global inflation, which had turned benign. Higher tariffs may result in higher inflation (versus the 2% target of the US Fed) and may impact the FED’s rate cut decision which is not conducive for the IT sector, in general.

We believe investor's focus will soon turn squarely to a string of key technology earnings.

Infosys, TCS, TechM, Coforge, and Indegene are our key picks.

Amit Singh has resigned as Chief People Officer (Function Head) of the company due to personal reasons, effective May 30. Satish Kumar Singh, Function Head, will take charge as the Chief People Officer of the company, effective May 31.

The company laid the foundation stone of the first Reliance Compressed Bio-Gas (CBG) plant at Kanigiri, Andhra Pradesh. The project is being developed with a capital investment of Rs 139 crore and is the first in a series of 500 projects involving a total capital outlay of Rs 65,000 crore for Andhra Pradesh.

The US’s new reciprocal tariff regime announced on April 2, 2025, could shake up global trade, but India emerges relatively well-placed. With lower tariff rates than key peers and a modest impact on exports, India may even gain from supply chain shifts. Domestic growth, inflation, and equities remain on solid ground—turning a global trade headwind into a potential strategic tailwind.

Beginning April 5, 2025, the United States will implement a blanket 10% tariff on imported goods. From April 9, the country will switch to a reciprocal tariff structure, imposing import duties equivalent to the tariffs levied by its trading partners on US exports. For India, this implies a 26% tariff, comparable to the EU (20%) and Japan (25%), but significantly lower than for China (54%), Vietnam (46%), Sri Lanka (44%), and Bangladesh (37%).

The company's subsidiary, Lupin Healthcare (UK), has entered into a definitive agreement and acquired the entire share capital of Renascience Pharma, United Kingdom, for GBP 12.3 million.

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Vipul Organics announced today the successful closure of the Rights Issue, which opened on 21st March, 2025. At the end of the day on the 2nd of April, the issue closure date, the issue was oversubscribed by 80%.

The Rights issue offered 44,37,291 shares of Rs 10 face value at Rs 46 per share (including premium of Rs 36 per share), totalling Rs 2041.15 lakhs.

The issue garnered applications for 79,88,227 shares, amounting to Rs 3674.58 lakh, resulting in subscription of 1.8 times the issue size.

The company has emerged as the successful resolution applicant for the acquisition of Vas Infrastructure for Rs 86.04 crore due to the Resolution Plan submitted by the company.

The Sensex was down 215.56 points or 0.28 percent at 76,401.88, and the Nifty was down 41.95 points or 0.18 percent at 23,290.40. About 2337 shares advanced, 1026 shares declined, and 129 shares unchanged.

Trump's 'Liberation Day' tariffs, if they're kept in place and especially if they face retaliation from targeted nations, will be a significant economic event after the 2008 financial crisis and COVID. Especially export dependent countries like China and Germany will face the brunt the most if these tariffs do come in. India with our domestic consumption capability will likely remain a bright spot. These tariffs though do raise the risk of a worldwide recession if they get enacted. However whether they really get implemented is yet to be seen.

The tariff driven volatility in the market is likely to continue for a while till the dust finally settles. Drops in price may provide interesting entry opportunities into high quality global companies at good valuations.

The company has received purchase orders worth Rs 38.2 crore from NTPC for the supply of generator parts for the Talcher site.

#1 IDFC First Bank 4Q end customer deposits grew 6.7% QoQ

#2 IDFC First  Bank 4Q end CASA ratio 46.9% vs 47.7% QoQ

The Sensex was down 195.55 points or 0.26 percent at 76,421.89, and the Nifty was down 47.80 points or 0.20 percent at 23,284.55. About 2325 shares advanced, 942 shares declined, and 132 shares unchanged.

The company is the preferred partner for the redevelopment of two residential societies in the Lokhandwala Complex, Andheri West, Mumbai, with a project value of Rs 1,200 crore.

The company has received a Letter of Acceptance and Letter of Intent (LOA/LOI) amounting to Rs 414 crore for infrastructure works from government departments in Uttarakhand and Uttar Pradesh.

The company has received a Letter of Intent for a purchase order worth over Rs 300 crore involving a job of 30,000 MT from a new customer. The order involves design, engineering, manufacturing, supply, and erection of pre-engineered steel building systems.

It's a big setback for India as the US has announced retaliatory tariffs. While in the broader sense, it will be 26%. The Gems and Jewelry sector will be the most affected as import tariffs may be up to 20% from the current 0% on loose diamonds and 5.5-7% on gold jewelry. The US is one of India's largest jewelry export markets, accounting for almost 30% of the share. Indian jewelry exports to the US are over $11 billion per year.

The Indian government should work in this direction and look at lowering tariffs on US goods exported to India. As the tariffs announced are retaliatory in nature, they will be matched with the existing rates. India currently imposes a 20% import duty on gold, silver, and platinum jewelry from the US. Efforts should be made to rationalise import duty as well as balance trade with all major nations. Import duties help protect local industries, but the retaliatory tariffs will end up negating this step by most governments.

Gold prices rose further to cross the $3200 mark. This upward rise is due to the strong tariffs announced as well as future uncertainties. Broadly, we expect the uncertainties to continue in the short term till clarity emerges on the latest rounds of negotiations and new tariff rates on imports.

The company sold its remaining shareholding (of 1.63 crore equity shares) in PNB MetLife India Insurance Company for Rs 134.4 crore.

The company has received an order worth Rs 270 crore from the Indian Navy for the design and development of a medium-speed marine diesel engine of 6MW capacity under the Make-I scheme.

UGRO Capital announced the issue of secured, rated, listed, redeemable, non-convertible debentures of the face value of Rs 1,000 each. The issue has a base issue size of Rs 10,000 lakhs with an option to retain oversubscription up to Rs 10,000 lakh, aggregating up to Rs 20,000 lakh.

The Issue opens on Thursday, April 3, 2025 and closes on Monday, April 21, 2025 with an option of early closure subject to compliance with Regulation 33A of the SEBI NCS Regulations.

The worse-than-expected reciprocal tariffs announced by President Trump will have a negative impact on markets, globally. The biggest concern is that this will trigger retaliatory tariffs from other countries resulting in a full blown trade war, impacting global trade and global growth. Higher inflation in the US will put the Fed in a tight spot; it would be difficult for the Fed to deliver the rate cuts expected by the market in 2025. The probability of a US recession by the end of 2025 has increased. This is bad news for the global economy and markets.

The exemption given to Indian pharmaceuticals is positive and, therefore, this segment is likely to witness buying. Even in a weak market, domestic consumption driven sectors will be regarded as safe havens by investors.

The picture may change, going forward, when countries like India negotiate bilateral trade agreements with the US.