Indian equity indices opened Tuesday’s trading session on a lower note after the US President Donald Trump signalled another set of tariffs to be levied. The NSE Nifty 50 opened 87 points or 0.34% lower at 25,873. The BSE Sensex opened 267 points or 0.31% lower at 84,835. Rice exporters such as KRBL, Chaman Lal Setia, LT Foods and Kohinoor Foods lost between 1.2% and 4%.
The small and midcap space sees a sharp decline in trade today as well.
The Bank Nifty opened 250 points or 0.42% lower at 58,990. Similarly, the small and mid-cap stocks opened in the red. The Nifty Midcap opened 248 points or 0.42% lower at 59,240.
“Briefly, what we are witnessing now is fundamentals exerting influence on the market. Overvalued stocks in the mid and small-cap segments are getting dumped, impacting their share prices. There is some more time for this trend to play out. Further correction in midcaps will open up opportunities for long-term investors to slowly accumulate high-quality growth stocks in this segment. Defence stocks now offer value,” said VK Vijayakumar, Chief Investment Strategist at Geojit Investments.
The morning trade also
Let’s take a look at the key factors to watch out for today’s trading session
Early gainers and laggards
In early trade, among the Nifty 50, top gainers at this hour were Bharti Airtel, InterGlobe Aviation, Hindustan Unilever, Eicher Motors, and Cipla. On the flip side, the key laggards in the Nifty 50 pack included Asian Paints, Eternal (Zomato), Hindalco Industries, Jio Financial Services, and Trent.
Major movers on Tuesday
The stocks that were the major movers in the opening trade included Infosys, Zomato (Eternal), Kotak Mahindra Bank, ICICI Bank, and Bajaj Finance, which were the major movers in the morning trade.
Trump’s new tariff threat
The US President Donald Trump threatened to levy new tariffs on rice imports from India and fertiliser from Canada. While unveiling a multi-billion-dollar farm relief package for American farmers, Trump remarked levying new tariffs on agricultural imports during a meeting at the White House.