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Nifty, Sensex On April 9, 2025: Stock markets around the world are falling sharply as fears grow over the impact of the escalating trade war between the United States and China.
The latest move by U.S. President Donald Trump to impose sweeping tariffs on most imports has triggered fresh concerns that a global trade war could slow down economic growth and reduce demand for fuel and goods.
Why Stock Markets is Falling?
The U.S. announced it will impose a massive 104% tariff on Chinese goods starting at 12:01 a.m. EDT (0401 GMT) on Wednesday. This includes a 50% increase after China failed to remove its 34% retaliatory tariff on U.S. products, as demanded by Trump. In response, China said it would not give in to what it called “U.S. blackmail” and vowed to fight back.
As a result, global stock markets are seeing red. Japan’s Nikkei index has dropped more than 3.5%, continuing its recent losing streak. South Korea’s Kospi has now officially entered a bear market, falling 20% from its peak in July.
Other Asian markets are also under pressure. The Hang Seng Index in Hong Kong fell by 377.34 points, or 1.87%, to 19,750.34. China’s SSE Composite Index slipped 21.58 points, or 0.69%, to close at 3,123.97.
What Gift Nifty Indicates?
Meanwhile, India’s Gift Nifty index—a key indicator of how the Indian stock market is likely to open—has dropped 86 points or 0.38%, trading at 22,432 compared to the previous close of 22,518.5. This decline signals that Indian markets may also open lower, in line with the global trend.
RBI Policy and Fed Minutes in Focus
Market participants are also keenly awaiting domestic policy signals, with the Reserve Bank of India’s monetary policy decision scheduled for tomorrow morning. Expectations are building around a rate cut.
“There are strong expectations that the RBI governor may cut rates by 25 basis points in response to the global uncertainty and the potential economic impact of the tariff situation. We also expect him to maintain a dovish stance,” said Sugandha Sachdeva, Founder of SS WealthStreet, highlighting that bargain buying from lower levels also supported today’s rally.
“Despite the sharp bounce, caution still lingers. While the market has recovered, the broader outlook is still clouded by uncertainty on the global tariff front. Key resistance levels are seen around 22,800 to 23,100 on the Nifty, which could limit further upside in the near term,” Sachdeva concluded.
Also Read: Nifty Prediction April 9, 2025: Will Sharp Rebound Sustain or Fizzle Out? Key Triggers Ahead
Indian stock markets made a strong recovery on Tuesday, bouncing back sharply after suffering their worst fall in 10 months just a day earlier. The rebound came as investors turned optimistic following rallies in Asian and European markets.
The BSE Sensex , which had been declining for the past three sessions, jumped 1,089.18 points or 1.49% to close at 74,227.08. During the day, it even surged as much as 1,721.49 points or 2.35% to hit an intraday high of 74,859.39. Out of the 30 stocks in the index, 29 ended in the green, showing broad-based buying.
The NSE Nifty also ended its three-day losing streak with a strong gain of 374.25 points or 1.69%, settling at 22,535.85. During intraday trade, it rose even higher by 535.6 points or 2.41% to reach 22,697.20.
