Sensex, Nifty surge over 2 pc on global markets rally after Trump relaxes tariffs on electronics
Mumbai, Apr 15 (PTI): Benchmark equity indices Sensex and Nifty surged over 2 per cent on Tuesday, tracking a rally in global markets after US President Donald Trump relaxed some of the tariffs on electronics products and hinted at duty revision for automobiles.
Rallying for the second straight session, the 30-share BSE Sensex jumped 1,577.63 points or 2.10 per cent to settle at 76,734.89. During the day, it zoomed 1,750.37 points or 2.32 per cent to 76,907.63, driven by the across-the-board rally.
The NSE Nifty surged 500 points or 2.19 per cent to 23,328.55. Intra-day, it rallied 539.8 points or 2.36 per cent to 23,368.35. The key indices have recovered almost all the losses induced by Trump's reciprocal tariffs announced on April 2.
All the BSE sectoral indices closed in the green. BSE Realty, Auto, Capital Goods and Industrials were lead gainers, jumping up to 5 per cent.
IndusInd Bank was the lead gainer among Sensex shares, surging by 6.84 per cent. Tata Motors rallied 4.50 per cent. Larsen & Toubro, Axis Bank, Adani Ports, HDFC Bank, ICICI Bank and HCL Tech were also among the gainers.
ITC and Hindustan Unilever were the only laggards.
Trump has suggested that he might temporarily exempt the auto industry from tariffs that were imposed earlier.
"The rally is fuelled by the surprise pause in reciprocal tariffs which continued today led by the exemption on electronics goods also. Auto stocks gained on potential tariff relief and banking stocks benefited from deposit rate cuts.
"Domestically, the focus has shifted to the earnings season which has a weak forecast while global recovery and RBI’s accommodative stance are supporting sentiment," Vinod Nair, Head of Research, Geojit Investments Limited, said.
The BSE smallcap gauge jumped 3.21 per cent and midcap index rallied 3.02 per cent.
All BSE sectoral indices ended higher. Realty zoomed 5.81 per cent, Industrials soared 3.76 per cent, capital goods (3.67 per cent), auto (3.39 per cent), consumer discretionary (3.12 per cent), financial services (2.94 per cent) and metal (2.75 per cent).
As many as 3,302 stocks advanced while 785 declined and 169 remained unchanged on the BSE.
In Asian markets, South Korea's Kospi index, Tokyo's Nikkei 225, Shanghai SSE Composite and Hong Kong's Hang Seng settled in the positive territory. Markets in Europe were trading with gains. US markets ended higher on Monday.
Trump said he was temporarily exempting smartphones, computers and other electronics items from his tariffs.
"Benchmark indices extended the sharp gains on Tuesday, after Donald Trump carved out more exemptions from tariffs even as uncertainty continued. Broader mid and smallcaps also posted strong gains and so are all major sectors. Markets opened sharply higher on mostly positive global cues after the US removed smartphones and other electronics from its tariffs on China.
"Trump also suggested he might grant exemptions on the 25% levies for automobiles that are already in place, leading to a sharp rally in auto stocks. The latest tariff adjustments suggest the White House is recognizing the pressure on American consumers and the broader economy," Satish Chandra Aluri, Analyst, Lemonn Markets Desk, said.
Meanwhile, wholesale price inflation eased to 2.05 per cent in March, as against 2.38 per cent in February, government data showed on Tuesday.
Foreign Institutional Investors (FIIs) offloaded equities worth Rs 2,519.03 crore on Friday, according to exchange data.
Global oil benchmark Brent crude dropped 0.52 per cent to USD 64.54 a barrel.
Sensex jumped 1,310.11 points or 1.77 per cent to settle at 75,157.26 on Friday. Nifty surged 429.40 points or 1.92 per cent to 22,828.55. Equity markets were closed on Monday for Dr Baba Saheb Ambedkar Jayanti.
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Inappropriate for MLAs seeking free IPL tickets, says D.K. Suresh
Bengaluru: Bengaluru Milk Union Ltd President D.K. Suresh on Monday said it is inappropriate for MLAs to seek free IPL tickets, adding that those interested in watching matches should pay for them personally.
Speaking to reporters near his residence in Sadashivanagar, he said, “IPL is a commercial tournament and does not represent the country. It is not right for public representatives to focus too much on such matters.”
Referring to the recent controversy during the RCB celebrations, he said, “let us find out who benefited the most from the statements made during the incident.” He also pointed out that BJP MLAs had received IPL tickets as well.
Responding to discussions about relocating the Chinnaswamy Stadium, Suresh said the government has already approved the construction of a new stadium at a location he had proposed.
“I had suggested building a stadium in Surya City and submitted a proposal for it. Bengaluru needs four stadiums in four directions to cater to its growing population and encourage youth participation in sports,” he said.
He noted that apart from Kanteerava Stadium, KSCA, and the Football Stadium, there are limited facilities in the city.
“When I was a Lok Sabha member, I had proposed allocating 100 acres in my constituency at Surya City. The land was later earmarked and the plan approved,” he added.
Suresh said he has discussed the project with Minister Zameer Ahmed Khan, Rajiv Gandhi Housing Corporation Chairman Shivalingegowda, and Anekal MLA Shivanna.
“The Cabinet has now approved the project, and a stadium will be developed on around 50–60 acres,” he said.
He further added that he has requested the Deputy Chief Minister to build another stadium at Shivarama Karanth Layout through the BDA, where 40 acres have been allocated. Plans are also being discussed to develop a well-equipped stadium in Bidadi.
Commending state government's recent bilingual policy move, Suresh said forcing children to learn three languages could affect their comprehension.
“It is a good decision to make two languages compulsory. Learning a third language should be left to the choice of students and parents,” he said.
Responding to criticism from BJP leaders, he said their tendency is to oppose every decision of the government.
“To please their central leadership, they take a pro-Hindi stance. Instead, they should advocate for the adoption of Kannada in all states,” he said.
When asked about the earlier three-language policy under Congress, he said, “the situation is different now. Today, the focus should be on quality learning. Kannada should remain the primary language, while students and parents can choose an additional language.”
