Sensex Soars Over 1,300 Points Following Trump's Tariff Suspension Until July 9

Synopsis

On April 11, the Sensex surged by over 1,300 points after President Trump's announcement of a 90-day tariff halt on most nations, including India. This led to increased investor confidence, despite mixed performance in Asian markets due to ongoing US-China trade tensions.

Key Takeaways

Sensex jumped 1,310.11 points to close at 75,157.26.
Nifty surged by 429.40 points to 22,828.55.
Broad market rally with gains across all major sectors.
Asian markets displayed a mixed performance amid trade tensions.
Rupee strengthened to 86.00 per dollar.

New Delhi, April 11 (NationPress) The Sensex experienced a remarkable surge of over 1,300 points on Thursday following the announcement from US President Donald Trump regarding a 90-day suspension of trade tariffs for many countries, including India.

This news significantly boosted investor sentiment in the nation, despite some Asian markets facing challenges due to escalating trade tensions between the US and China.

The Sensex rose by 1,310.11 points, equating to a 1.77 percent increase, closing at 75,157.26. Throughout the day, the index reached a peak of 75,467.33 and dipped to 74,762.84.

Additionally, the Nifty climbed by 429.40 points or 1.92 percent, finishing at 22,828.55.

Resistance was noted for the Nifty around the 21-EMA on the daily chart, causing it to close below the day's highest point.

“The trend seems bearish unless it breaks above 23,000, where considerable open interest has been established. On the downside, support is at 22,750; a fall below this could heighten bearish sentiment,” stated Rupak De from LKP Securities.

The market rally was widespread, with strong demand across different sectors improving investor morale. The BSE Midcap index increased by 1.84 percent, while the Smallcap index surged by 3.04 percent.

All major sectoral indices finished in positive territory, with Metal, Energy, Pharma, Auto, and Banking stocks leading the charge. The Nifty Metal index emerged as the top gainer, soaring over 4 percent.

Among the 50 stocks on the Nifty index, Hindalco topped the list with a 6.52 percent increase, followed by Tata Steel, JSW Steel, and Coal India, all rising between 4.4 to 4.8 percent.

In contrast, Asian markets showed a mixed outcome, with Japan’s Nikkei 225, South Korea’s KOSPI, and Singapore’s Straits Times ending lower.

This situation arose after China responded to the US by implementing increased tariffs of up to 125 percent on American products, in light of Trump's recent tariff hikes on Chinese imports to an effective 145 percent.

“In spite of global uncertainties, the Indian markets celebrated the temporary easing in the global trade scenario, fueling a robust rally across various sectors and market segments,” remarked an analyst.

The rupee showed positive movement, gaining 0.70 to reach 86.00 per dollar, primarily bolstered by a weaker dollar index and a significant boost in sentiment from the US decision to reduce tariffs on Indian goods by 10 percent for the upcoming 90 days.