Markets at close: Indian equity markets closed Wednesday’s session on a lower note, paring most of their losses at the end. The Nifty 50 finished 75 points or 0.30% lower at 25,158, while the BSE Sensex closed 270 points 0.33% lower at 81,909.
Underperforming the benchmarks, the Nifty Bank ended 604 points or 1.02% lower at 58,800, while the Nifty Midcap 100 shed 662 points or 1.14% to close at 57,424.
Markets at 1 PM: After a sharp fall in early trade, the market recovered in the afternoon session and moved into positive territory. The Sensex was trading at 82,400, up over 200 points or 0.2%, while the Nifty 50 stood at 25,293, higher by over 50 points or 0.2%.
Markets at 11 AM: The equity markets slipped further, taking the correction to the third consecutive day. The Nifty 50 dropped 220 points or 0.88% to 25,009, while Sensex dipped 750 points or 1.03% to 81,337.
Markets today at open, Jan 21: The Indian benchmark indices, Sensex and Nifty, opened on a negative note. The Sensex started the session at 81,963.00, down 0.2%, while the Nifty opened at 25,195.60, slipping 0.15% in early trade.
“There is risk-off sentiment in global markets now in response to Trump’s Greenland policy, the threatened tariffs on eight European countries and Europe’s hardening anti-Trump stance. Globally, stock markets are down, and the flight to the safety of gold is up. There is no clarity on how the situation will evolve. If the threatened tariffs come into effect, Europe will retaliate, and this will lead to a trade war with bad consequences for global trade and global growth. If such a scenario plays out, stock markets will witness further selling,” said VK Vijayakumar, Chief Investment Strategist, Geojit Investments.
“On the other hand, if Trump chickens out as he has done in the past, or succumbs to pressure, markets will rebound. A combined and united Europe has many options, like the much-talked-about ‘Sell America’, wherein they sell US treasuries, leading to a sharp fall in the dollar. This will hurt Trump. Public opinion in the US is also against Trump’s Greenland annexation plan. Many unexpected developments can happen, and the market is likely to react strongly to the developments,” he added.
Key global and domestic cues to watch on January 21, 2025
GIFT Nifty opened on Wednesday slightly higher, gaining around 0.1% to trade near 25,274 in the early hours. Market participants are likely to keep a close watch on global cues, especially moves in Asian and U.S. markets, after recent tariff-related comments from US President Donald Trump. Changes in currency rates and commodity prices are also expected to play a role in shaping sentiment through the day.
Asian Markets
Asian markets opened lower on Wednesday, with losses seen across major indices. In Japan, the Nikkei 225 fell 1.28%, while the broader Topix index declined 1.09%. South Korea’s Kospi slipped 1.09%, and the small-cap Kosdaq saw a sharper fall of 2.2%. In Australia, the S&P/ASX 200 was down 0.32% in early trade.
What kept Asian markets subdued
Asian stock markets remained under pressure as investors reacted to losses on Wall Street and fresh trade concerns. US President Donald Trump warned of new tariffs linked to the Greenland issue, saying exports from several European countries could face higher duties from February if talks fail. He also flagged steep tariffs on French wine and champagne and criticised the United Kingdom over its overseas territory decisions, adding to global trade uncertainty.
US Futures
US stock futures were slightly higher during early Asian trading hours. This came after the major Wall Street indices posted their worst session in nearly three months.
US markets
U.S. markets ended the January 20 session with sharp losses across the board. The Dow Jones Industrial Average dropped 870.74 points, or 1.76%, to close at 48,488.59. The S&P 500 fell 2.06% to 6,796.86, while the Nasdaq Composite declined 2.39% to end at 22,954.32.
Trump’s Davos speech in focus
The World Economic Forum Annual Meeting 2026 is underway in Davos, Switzerland, with the theme “A Spirit of Dialogue.” Leaders from around the world have gathered to discuss global economic and political issues.
US President Donald Trump is scheduled to speak at the event on Wednesday, January 21, 2026. His address will take place from 2:30 pm to 3:15 pm Central European Time, which is 7:00 pm to 7:45 pm Indian Standard Time, marking his second speech at the Davos meeting as President.
Supreme Court delays ruling on Trump’s tariffs
The U.S. Supreme Court did not make a decision on President Donald Trump’s global tariffs on January 20. While it issued three other rulings, it gave no date for when the tariff case will be decided.
The case challenges Trump’s use of the International Emergency Economic Powers Act (IEEPA), a 1977 law that allows the president to act during national emergencies. The tariffs, announced on April 2 and called “Liberation Day” tariffs, placed 10-50% duties on imports from countries including Canada, Mexico, and China. Some of these tariffs were also linked to efforts against fentanyl trafficking, but their legality is still being reviewed.
Trump’s Greenland demand
US President Donald Trump has stepped up pressure in the Greenland dispute by linking it to trade measures. In a post on Truth Social, he said the United States would impose tariffs on imports from eight North Atlantic Treaty Organisation (NATO) countries that oppose the sale of Greenland. The tariffs are set to begin at 10% from February 1 and rise to 25% by June 1, and would stay in place until an agreement is reached on the proposed purchase of the Danish territory.
US dollar
The US Dollar Index (DXY), which measures the dollar’s value against a basket of six foreign currencies, was trading 0.01% lower at 98.55 on Wednesday morning. The index evaluates the strength or weakness of the US dollar in comparison to major currencies. The basket contains currencies such as the British Pound, Euro, Swedish Krona, Japanese Yen, Swiss Franc, etc. The rupee appreciated 0.05% to close at 90.97 to the dollar on January 20.
Crude Oil
Crude oil prices edged lower in early trading on Wednesday. U.S. crude West Texas Intermediate was trading at around $59.67 a barrel, down about 1.14%, while Brent crude slipped to nearly $64.08 a barrel, a decline of roughly 1.27%.
FII, DII data
Foreign Institutional Investors (FIIs) sold Indian equities worth Rs 2,938 crore on January 20. Meanwhile, Domestic Institutional Investors (DIIs) bought shares totaling Rs 3,666 crore.
Gold rate today
Gold prices in India edged lower. On the MCX, February 5, 2026 gold futures were trading at Rs 1,50,560 per 10 grams in the latest update.
In the international market, gold was trading at $4,788 per ounce.
Top sectors in last trading session
Non-ferrous metal stocks ended the session with a small gain, with the sector’s market value rising 0.25%. REITs and InvITs also moved slightly higher, posting a 0.24% increase in market capitalisation. The tea and coffee sector closed lower, with its market value slipping 0.39%.
Best and worst performing business group in last trading session
Stocks from the Ruchi Group saw a rise, with the group’s market capitalisation increasing 2.52% during the session. Vedanta Group companies also ended higher, recording a 1.24% gain in market value, while HDFC Group stocks were largely flat, edging up just 0.04%. On the other hand, Jaipuria Group stocks came under pressure, with the group’s market capitalisation falling 4.87%. Essel Group also closed lower, posting a sharper decline of 4.93% in market value.