Also Read: AI robot carving marble statues leaves internet disheartened
The benchmark BSE Sensex dropped by almost 5%, opening with a sharp decline of 3,100 points, while the Nifty also saw a significant fall, opening 1,200 points lower.
Sensex Plunges 3,100 Points as Indian Markets See Biggest Opening Crash Since Covid on Global Recession and Trade War Fears
Indian share markets crashed on Monday as global trade war and growing recession fears in the US triggered a stock market rout on Wall Street and in other Asian markets.
The benchmark index BSE Sensex declined nearly 5 per cent to open 3,100 points lower while the Nifty Nifty also opened 1,200 points lower. This is the biggest opening fall in the Indian markets since the Covid.
Also Read: Trump Tariffs Indian Firms in Crisis
All the 13 major sectors declined. The broader small-caps and mid-caps lost 10% and 7.3%, respectively.
IT companies, which earn a significant share of their revenue from the US lost 7%. The broader small-caps and mid-caps lost 6.2% and 4.6%, respectively. Other Asian markets slumped earlier on Monday, with the MSCI Asia ex-Japan index losing 6.8%. Japan’s Nikkei 225 dropped 6.5%.
Impact of Trump Tariffs
The Nasdaq index confirmed it entered a bear market on Friday, as oil prices and other commodities plunged amid a massive global market decline following US President Donald Trump’s announcement of sweeping tariffs on Wednesday.
Trump’s new tariffs are “larger than expected”, and the economic impact on inflation and growth will be likely, said Federal Reserve Chair Jerome Powell on Friday, flagging an uncertain outlook on the US economy.
In the two days following Trump’s April 2 tariff announcement, US markets shed $5.4 trillion in value and dragged the S&P 500 to the lowest level in 11 months.
Also Read: Police suspect inside job after Rs 55 lakh is stolen from Jamshedpur’s LIC building