Indian Markets Open Up Amidst Tariff Deadline Concerns

Indian stock markets began trading with gains on Thursday, though a sense of caution was evident among investors. This cautious approach stemmed from ongoing concerns surrounding the upcoming US tariff deadline.

The Nifty 50 index started the day at 25,505.10, experiencing an increase of 51.70 points, or 0.20 percent. The BSE Sensex also saw a marginal rise, opening at 83,540.74, which represented a gain of 131.05 points, or 0.16 percent.

Market analysts pointed out that while domestic factors are providing support to the market, global uncertainties, particularly those related to the US-India trade deal, are keeping traders on alert.

According to a banking and market expert, Indian markets are influenced by global volatility and are awaiting developments regarding the US-India trade deal. Domestic factors are favorable for the market to potentially reach new all-time highs in the coming weeks.

The expert further discussed the impact of recent developments in US trade policy. The announcement of a trade deal with Vietnam, which includes tariffs on Vietnamese goods and trans-shipped goods, along with full market access for US goods in Vietnam, has boosted market sentiment. With the US tariff deadline approaching, volatility is expected in the coming week. A postponement of reciprocal tariffs or a universal tariff of 10 to 20 percent is anticipated.

On the National Stock Exchange (NSE), broader market indices also opened with gains. The Nifty 100, Nifty Midcap 100, and Nifty Smallcap 100 all saw increases.

Among sectoral indices, Nifty IT showed the strongest performance, followed by Nifty Auto, Nifty Metal, and Nifty FMCG, all of which gained during the opening session.

A technical analysis of the markets suggests that the Nifty is currently consolidating after a recent retreat. As long as the 25,200-25,270 area is maintained, the market is seen as taking a break. The recent swing high at 25,670 is a key level to watch. With the tariff deadline approaching, the current global optimism will be tested. Increased volatility may be observed due to the weekly derivatives expiry.

Asian markets presented a mixed picture. While Japan's Nikkei 225 index was flat, Hong Kong's Hang Seng index and Singapore's Straits Times index declined. However, Taiwan's Taiwan Weighted index and South Korea's KOSPI saw gains.

In summary, Indian markets opened positively, but investors are closely monitoring the upcoming tariff deadline and global trade developments, which are expected to influence market movements.