The Indian stock market is expected to open with a big fall on April 7. This is mainly because of a global sell-off in stock markets. Asian markets and Wall Street both saw a sharp decline after U.S. President Donald Trump announced new tariffs. These tariffs have increased worries about a global trade war. As a result, investors are pulling out their money from stocks and moving it into safe assets like gold or bonds.

At 7:20 am, the GIFT Nifty index was at 22,130 – down by over 900 points or 3.6 percent. This signals that both the Nifty 50 and the Sensex may open much lower today. Most Asian stock markets were trading in deep red. Wall Street futures also fell heavily. S&P 500 futures dropped by 4.31 percent and Nasdaq futures fell by 5.45 percent. Last week, about $6 trillion was already lost in the U.S. stock market.

In Asia, Japan’s Nikkei fell 7.8 percent to its lowest level since late 2023. South Korea’s stock market dropped by 4.6 percent. Hong Kong’s Hang Seng index and Taiwan’s benchmark index both fell by 10 percent. These sharp losses show that investors are very concerned about the global economy.

Even after these big losses, President Trump said he was not too worried about the market. “I don’t want anything to go down. But sometimes you have to take medicine to fix something,” he said.

Indian market already under pressure last week

Last week, Indian markets had already shown signs of weakness. Both the Sensex and Nifty 50 fell by 2.6 percent. The Nifty ended at 22,904, falling below the important 23,000 mark. The drop was mainly due to Trump’s tariff announcement and fears of a global economic slowdown.

Midcap and small-cap stocks were also hit. Nifty Midcap 100 fell by 2 percent and Nifty Smallcap 100 dropped by 2.6 percent. Among sectors, the IT sector saw the biggest fall — down by 9 percent. This was because of fears that companies in the U.S. may reduce their IT spending. The metal sector also slumped by 7.5 percent as the trade war could affect global businesses.

Market expert Dhupesh Dhameja said, “The index settled below its 20-day EMA, cementing the shift toward a bearish trajectory.” He added that now the support level could come near the 22,800–22,700 range.

In the coming days, investors will focus on the RBI meeting, where a rate cut is expected. Any positive news on trade tariffs could also help the market recover. The start of Q4 earnings season will also play an important role in shaping the market’s direction.

 

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