Indian stock markets opened sharply higher on Tuesday, buoyed by positive global cues and renewed optimism around a potential easing of US-China trade tensions. The upward momentum came on the back of encouraging signals from the US government, which indicated the possibility of temporary tariff relief — a move that investors see as a step toward a broader trade agreement.
At the opening bell, the benchmark Nifty 50 index soared by 539.80 points, or 2.36%, to touch 23,368.35. Meanwhile, the BSE Sensex jumped 1,679.20 points, or 2.23%, to start the session at 76,836.46, reflecting strong bullish sentiment across the board.
Market participants cheered recent developments from Washington, where officials hinted at short-term tariff exemptions on key electronics, including semiconductors — a move seen as a confidence booster for global trade and technology sectors. US President Donald Trump’s administration has suggested that more concessions may be announced soon, especially benefiting the semiconductor and electronics industries.
Ajay Bagga, a well-known banking and market expert, told ANI, “Indian Markets are determined to see the positives today. The worst of Trump Tariff Tantrums is perhaps over, at least for 90 days at the worst. Markets will look at earnings and management guidance for clarity through the Trump Policy Uncertainty. India stands out as a strong structural domestic story, and should attract some FPI flows once the Trump Policy is crystallised.”
The global market rally was evident across Asia and beyond. Taiwan’s weighted index advanced by over 1.6%, South Korea’s KOSPI climbed 0.79%, Japan’s Nikkei 225 rose by 0.88%, and Hong Kong’s Hang Seng inched up by 0.07%. In the US, all major indices closed higher on Monday — the Dow Jones gained 0.78%, the NASDAQ increased 0.64%, and the S&P 500 added 0.79%. US tech stocks led the charge, with pre-market gains exceeding 6% in some cases.
Back home, Indian retail investors continued to display strong confidence in equities. In March, Systematic Investment Plan (SIP) contributions crossed Rs 25,000 crore, providing robust domestic support to the markets, despite ongoing liquidity constraints.
Foreign Institutional Investors (FIIs), however, remained cautious, offloading Rs 2,519 crore worth of equities in the previous trading session on April 11. On the other hand, Domestic Institutional Investors (DIIs) helped balance the flows, investing a net Rs 3,759 crore.
Investors are also keeping an eye on corporate earnings, with several key Indian companies scheduled to release their March quarter results today. Notable names include ICICI Lombard General Insurance, Indian Renewable Energy Development Agency, GM Breweries, MRP Agro, Hathway Bhawani Cabletel and Datacom, and Delta Industrial Resources.
As markets continue to monitor policy signals from the US, particularly any updates on semiconductor tariffs, investor sentiment remains cautiously optimistic. Any further clarity on trade policies could set the tone for market movement in the days ahead.
