Market Today: GIFT Nifty, Trump's 27% India tariff, F&O Expiry, Nikkei, IPO

Stock Markets Today, April 3, 2025: Weak global cues on the back of US President Donald Trump’s higher-than-expected tariff announcement, coupled with the Nifty F&O expiry and Foreign Institutional Investors (FII) activity, are likely to influence the mood of Indian benchmarks, Nifty50 and Sensex, today.

 

Trump, on Wednesday, announced reciprocal tariffs on all imports from India and other countries, calling the move “kind reciprocal.” He criticised India’s tariffs as ‘very, very tough’ and imposed a 27 per cent tariff on all imports from India, which is half of what India charges on US products. 

 

In his speech, “Make America Wealthy Again,” Trump referred to Prime Minister Narendra Modi’s recent visit to the US, saying, “He (PM Modi) is a great friend of mine, but I said, ‘You’re a friend of mine, but you're not treating us right.’ They charge us 52 per cent but we have charged them almost nothing for years and decades.”  ALSO READ | STOCK MARKET LIVE UPDATES TODAY

 

Meanwhile, back home, at 7:18 AM, GIFT Nifty Futures were down 286 points at 23,153, indicating a gap-down start. In the previous session, Sensex gained 592.93 points (0.78 per cent) to close at 76,617.44, while Nifty50 rose 166.65 points (0.72 per cent) to settle at 23,332.35.

 

Global cues

 

Trump signed a 'reciprocal tariff' policy on Wednesday, setting a 10 per cent baseline tariff on all imports, impacting over 180 countries. Countries like China faced a 34 per cent tariff, the European Union 20 per cent, South Korea 25 per cent, Vietnam 46 per cent, Taiwan 32 per cent, and Australia 10 per cent. CHECK FULL LIST HERE

 

The White House clarified that the tariff on China is in addition to the existing 20 per cent duties, meaning a total of 54 per cent tariff on Chinese imports. 

 

The announcement led to a sharp sell-off in Asia-Pacific markets. Japan's Nikkei dropped nearly 4 per cent, South Korea’s Kospi slid over 2 per cent, and Australia’s ASX 200 fell 1.5 per cent.

 

The US stock futures also took a hit as Trump’s sweeping tariffs raised concerns about a global trade war that could exacerbate the already struggling US economy. Dow Jones futures plummeted 2.5 per cent, S&P 500 futures dropped 3.6 per cent, and Nasdaq-100 futures saw a decline of 4.5 per cent.

 

Meanwhile, US stocks climbed overnight in another volatile session ahead of the tariffs decision. The S&P 500 had risen 0.67 per cent, the Nasdaq gained 0.87 per cent, and the Dow Jones 0.56 per cent.

 

Commodity market 

 

As President Trump announced his tariff decision, investors turned to gold, pushing prices higher. Spot gold rose 0.6 per cent to $3,129.46 an ounce, while US gold futures climbed 0.6 per cent to $3,166.20, as safe-haven demand increased amid trade war concerns.

 

Meanwhile, oil prices dropped into negative territory after a brief post-settlement rise. Brent futures ended 46 cents higher at $74.95 a barrel, and US West Texas Intermediate crude gained 51 cents to settle at $71.71, amid worries that a global trade war could reduce crude demand.

 

Domestic cues

 

FII, DII

 

FIIs sold shares worth Rs 1,538.88 crore, while Domestic Institutional Investors (DIIs) net bought shares worth Rs 2,808.83 crore, on April 2.

 

IPO market

 

Identixweb IPO (SME) will list on the bourses. 

 

Spinaroo Commercial IPO (SME) and Infonative Solutions IPO (SME) will enter Day 3 of their subscription, while Retaggio Industries IPO (SME) will see its allotment.

 

Other triggers

 

Indian companies raised Rs 58,000 crore from overseas markets in FY25, driven by lower hedging costs and strong demand for Indian debt.

 

Also Read: Nifty stocks to watch in FY26: Right stocks could yield high returns

 

Government bond yields dropped after the Reserve Bank of India (RBI) announced ₹80,000 crore in Open Market Operations (OMO), signaling efforts to ease financial conditions ahead of the April policy review. 

 

Also Read: Run up to MPC review: RBI actively focusing on policy rate transmission

 

India’s manufacturing activity surged to an eight-month high in March, with the HSBC India Manufacturing PMI rising to 58.1 from 56.3 in February, indicating strong demand and expansion.

 

Also Read: India's rising export dependence on US raises risk from Trump's tariffs

 

Here's how analysts are assessing today's (April 3) trading session:

 

Shrikant Chouhan, head of equity research at Kotak Securities

 

We believe that as long as the market is trading above 23150/76000, the pullback formation is likely to continue. On the upside, it could move up to 23500/77000. A dismissal of 23500/77000 could push the market towards 23650/77500. Conversely, if the market falls below 23150/76000, selling pressure may intensify, and it could slip to the 23000-22950/75500-75300 range.

 

Hrishikesh Yedve, AVP of technical and derivatives research at Asit C Mehta

 

On the upside, 23,400 will serve as an immediate hurdle for the index, where the 200-Day Exponential Moving Average (DEMA) is placed. If the index sustains above 23,400, the rally could extend further towards 23,600-23,800 levels; otherwise, it may continue consolidating within the 23,000-23,400 range. Traders should monitor these levels for potential trading opportunities.