Mumbai: Indian stock markets opened lower on Friday, weighed down by global uncertainties sparked by U.S. President Donald Trump’s recent tariff announcements. The Nifty50 index slipped below 25,300, trading at 25,289.00 by 9:17 AM, down 66 points or 0.26%. The BSE Sensex also declined, falling 268 points or 0.32% to 82,922.21. Market sentiment is expected to hinge on ongoing India-U.S. trade talks and upcoming corporate earnings.
VK Vijayakumar, Chief Investment Strategist at Geojit Investments Limited, noted, “In the first half of 2025, large-cap stocks have outperformed the broader market. The Nifty50 posted a 7.9% return, compared to just 0.3% for the Nifty Smallcap 250 and 4.0% for the Nifty Midcap 150. Overvaluation in the broader market is undergoing correction, and India is lagging behind markets like South Korea, Germany, Japan, and the MSCI EM due to high valuations.”
Also read: Sensex, Nifty Slide as IT Stocks Falter Ahead of TCS Earnings, US Tariff Talks Loom
Commenting on corporate performance, Vijayakumar added, “TCS’s Q1 results reflect ongoing challenges for large-cap IT firms, though midcap IT companies may fare better. Sectors like telecom, oil and gas, and select auto segments are poised to outperform in Q1. Investors should focus on fairly valued stocks with strong earnings potential.”
Also read: Trump Imposes 35% Tariff on Canada, Eyes Up to 20% on Other Countries
Globally, U.S. markets hit record highs, with the S&P 500 and Nasdaq Composite buoyed by Delta Air Lines’ upbeat forecast and Nvidia’s strong performance, despite concerns over new tariffs. Asian markets displayed mixed results as Trump’s tariff proposals rekindled trade worries.
Gold prices edged higher on Friday following Trump’s announcement of new tariffs on Canadian imports and broader tariff threats to other trading partners. However, a stronger U.S. dollar limited gains as investors assessed the evolving trade landscape. Oil prices stabilized in early trading after a 2% drop in the previous session, driven by Trump’s tariffs and OPEC’s lowered demand forecasts, which could dampen economic growth.
[Disclaimer: Expert recommendations and views on the stock market and other asset classes are their own and do not reflect the opinions of Mumbai Samachar]