Stock Market Crash: Nifty Falls as Trump’s Tariffs Shake Investors
The Indian stock market on Tuesday suffered a bleeding fall. It was when Donald Trump, the US President, confirmed that he would perfectly continue with his tariffs on Canada and Mexico. Investors turned negative, bringing steep losses in the key index.
Market Crashes
The Sensex lost over 350 points to stand at 72,753, while Nifty was down 70 points at 21,979. A blanket of selling pressure surrounded each of the 13 key sectors. Also, small and mid-cap stocks plummeted by 1%.
On Monday, Sensex wavered to close at 73,085 points, down by 112 points. Moreover, Nifty declined for the ninth consecutive session to closed at 22,119, down by 5.40 points.
Worldwide Market Reaction
Trump’s tariff announcement, too, unnerved worldwide markets, as Tokyo and Hong Kong stocks bore market pressure, and the Nikkei 225 fell by 2.43%. The Topix index declined 1.48%, and the Dow Jones Industrial Average dropped 649.67, while the S&P 500 and Nasdaq lost 1.76 and 2.64, respectively.
Trump’s Trade War Escalates
Trump announced that Canada and Mexico would not be spared his tariffs, which apply to more than $918 billion of US imports. In retaliation, Canada’s Prime Minister Justin Trudeau vowed to impose 25% tariffs on $155 billion worth of American goods.
Meanwhile, Mexican President Claudia Sheinbaum said her country had contingency plans to cushion the impact of the tariffs. Further tensions were escalated with China after Trump raised tariffs from 10% to 20% and China gave a strong warning of countermeasures.
Market Outlook
With international trade disputes escalating, investors prepare for further swings. Keep an eye on the plates for recent news updates from an ever-changing economy.
