US Tariffs Shake Indian Markets: Key Sectors Plunge
US President Donald Trump's imposition of a 25 per cent tariff on Indian goods has sent textile, IT, auto, and pharma stocks into a downturn. Welspun Living and Hexaware Technologies were notably impacted. The penalties are seen as a tactic to influence India's Russian trade policies.
- Country:
- India
Stocks of major sectors such as textile, IT, automotive, and pharma experienced a notable dip on Thursday, rattled by President Donald Trump's new tariff policy against Indian goods, effective from August 1.
The textile sector suffered significant losses, with shares like Welspun Living and Vardhman Textiles plummeting significantly on the BSE. The IT sector wasn't spared either, as top companies like Wipro and Infosys saw their stock prices erode. Likewise, pharmaceutical stocks, including Jubilant Pharmova and Dr Reddy's Lab, faced sharp declines.
The sell-off comes on the heels of the US imposing a 25 percent tariff and additional penalties targeting Indian imports due to its continued trade ties with Russia. Analysts suggest the move aims to pressure New Delhi into renegotiating trade terms, although market watchers like Utsav Verma and Rajesh Palviya remain optimistic about a favorable resolution.
(With inputs from agencies.)
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