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Nifty ends lower amid US tariff fears

01 Apr 2025 Evaluate

Indian equity benchmark index -- Nifty -- ended lower on Tuesday as investors were cautious about US president Donald Trump’s tariff policy scheduled on Wednesday, April 2. Index made gap-down opening ahead of tariff threat and global trade disruption concerns. Soon, market trimmed their losses and traded flat in early deals as some support came after Reserve Bank of India (RBI) shown report that the India’s foreign reserves rose $4.529 billion to $658.800 billion in the week that ended on March 21, extending gains for the third straight week. However, market erased all gains and slipped below neutral lines. Traders took note of the government data shown that the output of eight key infrastructure sectors slowed down to Five-month low of 2.9 per cent in February, as against 7.1 per cent growth registered a year ago. 

Market continued to hover around lowest point of the day and closed below 23,200 mark, as sentiments remined pessimistic amid RBI data showed India's current account deficit (CAD) inched up to $11.5 billion, or 1.1 per cent of GDP, in the December quarter from $10.4 billion (1.1 per cent of GDP) in the year-ago period, mainly due to higher trade deficit.

Most of the sectorial indices ended in red except Media and Oil & Gas. The top gainers from the F&O segment were Vodafone Idea, Indus Towers, and IndusInd Bank. On the other hand, the top losers were Voltas, Info Edge (India) and Persistent Systems. In the index option segment, maximum OI continues to be seen in the 23400 - 23600 calls and 23400 - 23600 puts indicating this is the trading range expectation.

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