Mumbai, Feb 11 : The domestic stock market opened on a negative note on Tuesday after U.S. President Donald Trump officially announced a 25% tariff on all steel and aluminium imports into the country, with no exemptions or exceptions.
As of 9:32 a.m., the Sensex had slipped 172.29 points, or 0.22%, to 77,138.51, while the Nifty fell by 56 points, or 0.24%, to 23,324.80.
The Indian Steel Association (ISA) expressed serious concern over the U.S. decision, urging the Indian government to push for the removal of long-standing anti-dumping and countervailing duties while seeking exemptions from the newly imposed tariffs. The ISA warned that these steep tariffs could result in an 85% reduction in steel exports to the U.S., leading to a significant surplus of steel in the domestic market, potentially disrupting prices and supply.
Among key Nifty losers were Eicher Motors and Apollo Hospitals, both of which saw declines following their third-quarter financial results. Sectors under pressure included Nifty Realty and Nifty Auto, which saw the steepest falls, with Nifty Media and Nifty Pharma also posting notable losses in early trade.
Market analysts attributed the weak opening to a combination of global concerns and the lack of major domestic triggers. “The cautious sentiment reflects the broader market’s sensitivity to global developments,” an analyst commented. Investors are expected to closely track global cues, crude oil prices, and institutional fund flows for direction in the coming sessions.
On the technical front, Nifty formed a bearish candlestick on the daily chart, indicating prevailing negative sentiment. The index is facing key resistance at 23,460, and a breakout above this level could lead to gains targeting 23,550 and 23,700, experts said.
Institutional activity remains a crucial factor in shaping market momentum. Data from February 10 revealed that foreign institutional investors (FIIs) sold equities worth Rs 2,463 crore, while domestic institutional investors (DIIs) countered by buying equities worth Rs 1,515 crore. Analysts noted that the net effect of these transactions would be closely scrutinized to gauge their impact on market direction.
Aakash Shah from Choice Broking advised traders to remain cautious and wait for clear signals before making fresh entries. “Confirmation of price action at key resistance levels will be important before initiating new positions,” he said.
Experts believe that global developments, particularly uncertainties surrounding the U.S. tariffs, will play a pivotal role in determining the near-term tone of the markets.