Markets Drop After US Trade Penalty Announcement. |
Key Highlights:
– US imposes 25 percent tariff on all Indian goods, starting August 1.
– Sensex drops 296 points; Nifty down 86 points.
– HUL gains 3.48 percent after strong quarterly profit.
Mumbai: Indian stock markets fell on Thursday after the United States announced a 25 percent tariff on all Indian goods starting August 1. The US also said India would face extra penalties for buying oil and military equipment from Russia. This news shocked investors and caused selling pressure across markets.
Sensex and Nifty End Lower
The BSE Sensex, which includes 30 major companies, dropped by 296.28 points or 0.36% to close at 81,185.58. Earlier in the day, it had fallen over 780 points but recovered some losses by the afternoon.
The NSE Nifty, which includes 50 major companies, also dropped by 86.70 points or 0.35 percent, ending at 24,768.35.
Why Did the US Take This Step?
According to reports, the US is using these tariffs to pressure India into accepting certain trade demands. Recently, the US has signed new trade deals with Japan, the UK, and the European Union.
India has continued buying oil and defense equipment from Russia, which led to the US imposing a penalty. India is now the first country to be punished for doing trade with Russia.
Major Stocks That Fell
Many big companies saw their stock prices go down. Some of the top losers on the Sensex were:
– Tata Steel
– Sun Pharma
– Reliance Industries
– Adani Ports
– NTPC
– Asian Paints
Some Stocks Gained Despite Market Fall
Not all stocks fell. Hindustan Unilever Ltd (HUL) rose by 3.48 percent after reporting a good quarterly profit of Rs 2,768 crore, helped by tax savings.
Other gainers included:
– ITC
– Kotak Mahindra Bank
– Power Grid
Global and FII Trends
Asian markets like South Korea, Shanghai, and Hong Kong also closed lower, while Japan’s Nikkei closed higher.
European markets were trading mixed.
Foreign investors (FIIs) sold shares worth Rs 850.04 crore on Wednesday.
Oil prices also fell slightly, with Brent crude at USD 72.70 per barrel.
(With PTI Inputs)
