MUMBAI: Indian shares closed lower on Tuesday as investors reacted to renewed tariff threats from U.S. President Donald Trump over India’s Russian oil imports.
The Nifty 50 fell 0.3% to 24,649.55, while the BSE Sensex dropped 0.38% to 80,710.25.
Trump’s warning of higher tariffs on Indian goods triggered concerns over trade tensions, with New Delhi calling the move “unjustified.”
Twelve of the 16 major sectors declined, with small-cap and mid-cap indexes down 0.2% and 0.4%, respectively.
Yogesh Patil, CIO-equities at LIC Mutual Fund, said, “U.S. trade uncertainty may keep Indian markets volatile in the short term, but strong domestic fundamentals support medium- to long-term prospects.”
Investors are also awaiting the Reserve Bank of India’s policy decision on Wednesday, where rates are expected to remain steady at 5.50%.
However, pressure for a rate cut has grown after the U.S. imposed 25% tariffs on Indian goods.
Reliance Industries, India’s largest company by market value, fell 1.4% due to concerns over refinery profitability if crude sourcing shifts from Russia.
State-owned refiners also declined, while U.S.-exposed sectors like pharma and IT dropped 0.8% and 0.5%, respectively.
Private lender IndusInd Bank rose 1.9% after appointing Rajiv Anand as CEO. BSE shares fell 4.8% on reports of potential regulatory curbs on options trading. - Reuters
