BloodBath At Stock Market : Sensex Tanks Over 3,000 Points, Nifty Plunges 1,000 Amid Global Turmoil
Indian stock markets witnessed a massive sell-off on Monday, mirroring the global financial bloodbath triggered by uncertainty surrounding former US President Donald Trump’s aggressive tariff policies. The benchmark BSE Sensex nosedived 2,564.74 points to settle at 72,799.95, while the NSE Nifty50 plummeted 831.95 points to 22,072.50 by 9:24 am.
The meltdown follows steep declines across Wall Street and major Asian indices, fuelled by fears of a looming global slowdown as markets react to Trump’s newly announced reciprocal tariffs — 34% on China, 26% on India, and 20% on the European Union.
“All 13 major sectoral indices were deep in the red, reflecting widespread investor panic. Broader indices were equally impacted, with the small-cap index falling 10% and mid-caps down 7.3%,” said analysts tracking early market trends.
Commenting on the situation, Dr. V K Vijayakumar, Chief Investment Strategist at Geojit Financial Services, said, “Globally, markets are going through heightened volatility caused by extreme uncertainty. No one has a clue about how this turbulence caused by Trump tariffs will evolve. Wait and watch would be the best strategy in this phase.”
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The MSCI Asia ex-Japan index tumbled 6.8%, while Japan’s Nikkei 225 slumped by 6.5%, further compounding global investor concerns.
The sell-off was exacerbated by remarks from US Federal Reserve Chair Jerome Powell, who on Friday noted that the Trump tariffs were “larger than expected” and could severely impact inflation and economic growth. The Nasdaq officially entered bear market territory on the same day, with commodity prices, including oil, plunging sharply.
Back home, the sell-off spared no sector. Tata Steel saw the steepest decline, crashing 11.25%, followed by Tata Motors (-8.24%), Tech Mahindra (-6.70%), Infosys (-6.00%), and HCLTech (-6.00%). Even traditionally defensive sectors such as FMCG and healthcare failed to provide a safe haven.
“Domestic consumption themes like financials, aviation, hotels, select autos, cement, defence, and digital platforms are likely to come out relatively unscathed from the ongoing crisis,” added Vijayakumar. “Pharmaceuticals may remain resilient since Trump is unlikely to target that segment due to domestic considerations.”
Despite the market rout, some analysts remain cautiously optimistic about India’s relative resilience. “India’s exports to the US as a percentage of GDP is only around 2%, so the direct impact may be limited. Moreover, a Bilateral Trade Agreement with the US is under negotiation and could provide some relief,” Vijayakumar noted.
As the market enters a critical week, investors are advised to brace for continued volatility and avoid impulsive moves. With global uncertainty mounting and economic projections under revision, all eyes remain on the US policy trajectory and its ripple effects across global financial systems.
