At last check, GIFT Nifty futures were down 0.8 per cent, suggesting a sharp decline for benchmark indices at the open. Market participants expect the Nifty 50 and Sensex to fall between 1 and 2 per cent, led by broad-based pressure across sectors exposed to exports.
Global Cues Weak as Tariff Deadline Nears
Most Asian markets traded in the red, with Hong Kong’s Hang Seng and China’s CSI 300 leading losses, reflecting growing caution among investors ahead of escalating trade tensions. Overnight, Wall Street closed on a mixed note after the Federal Reserve left interest rates unchanged for the fifth consecutive meeting, dimming hopes of a September rate cut.
Fed Chair Jerome Powell cited ongoing uncertainty, while two dissenting votes marked a rare internal divide, the first of its kind in over three decades. Meanwhile, the US dollar surged, pushing the offshore rupee down 0.9 per cent to 88 per dollar, adding pressure to Indian assets.
India Faces One of the Highest US Tariffs Globally
US President Donald Trump defended the tariff move, calling India’s trade practices “obnoxious” and hinting at further penalties tied to India’s energy ties with Russia. India’s new 25 per cent levy compares to 20 per cent on Vietnam, 19 per cent on Indonesia, and 15 per cent on Japan, while Brazil received a temporary reprieve from a proposed 50 per cent copper import tariff.
In related commodity moves, copper prices slumped, and crude oil prices climbed to the highest since June, driven by concerns over India’s oil imports from Russia.
Key Q1 Earnings, IPO Activity in Focus
Back home, investors will closely watch a packed earnings calendar. Maruti Suzuki, Hindustan Unilever, Coal India, Adani Enterprises, Swiggy, and Eicher Motors are scheduled to release their Q1FY26 results today, which may offer stock-specific opportunities amid broader weakness.
Sectors such as garments, pharmaceuticals, gems and jewellery, automotive, and petrochemicals may remain under pressure, being the most exposed to the newly imposed tariffs.
In the primary market, the IPO of National Securities Depository Ltd. (NSDL) enters its second day after seeing full subscription on debut. Including NSDL, five mainboard IPOs and six SME issues are currently open for bidding, keeping the broader market active.
