The Indian stock market witnessed a sharp rebound on Tuesday as the Sensex surged by 1,089 points to close at 74,227, marking a significant recovery from the previous day’s losses. The Nifty 50 index also gained momentum, finishing 374 points higher at 22,535. This positive movement came despite some late-session declines, showing investor optimism in the face of ongoing global market turmoil.
The market’s recovery was part of a broader regional rally, with Asian indices bouncing back from steep losses on Monday. Japan’s Nikkei 225 led the way with a 6% jump after suffering an 8% drop the previous day. While global uncertainties around trade tariffs, particularly between the US and China, continue to cause volatility, signs of progress in tariff negotiations were enough to stabilize investor sentiment in Asia.
A Day of Recovery After Market Sell-Off
Monday had started off on a negative note for Indian markets. Both the Sensex and Nifty plunged over 5% in the early hours of trading, following a massive drop in US futures due to escalating tensions in international trade. The Sensex saw a steep 3,914-point drop to open at 71,449, while Nifty started 1,146 points lower at 21,758. Despite these losses, the market managed to regain some ground by the end of the day, with the Sensex closing 500 points higher and Nifty recovering 200 points.
Trump’s Remarks Fuel Market Uncertainty
US President Donald Trump addressed the global market sell-off, suggesting that sharp declines were a necessary “medicine” to address economic issues. Trump’s comments followed his announcement of new tariffs on major trading partners, including India, which sent shockwaves through global financial markets. Calling April 2 “Liberation Day,” he underscored the importance of his tariff policies in reshaping the global trading landscape. Despite the president’s assurances that the market’s declines were temporary, global markets continued to feel the ripple effects of these policy decisions.
While the broader impact of the tariffs remains uncertain, investors are closely monitoring developments in Washington, hoping for a resolution to the ongoing trade tensions.
