Market Turmoil Hits Hard

On Tuesday, the stock market experienced a significant downturn, with the Sensex closing 1,018 points lower, marking its fifth consecutive session of losses. This dramatic drop was fueled by a combination of weak global cues and domestic economic concerns, exacerbated by President Donald Trump's latest tariff announcements on iron and aluminium imports.

Global and Domestic Pressures

Investors around the globe felt the ripple effects of the escalating trade war, with the Indian rupee's instability and continuous foreign fund sell-offs adding to the market's woes. The Sensex ended the day at 76,294 points, a 1.3% decrease, while the Nifty fell by 310 points to 23,072 points. Over the last five sessions, the Sensex has lost nearly 2,300 points, reflecting a 3% decline.

Sectoral Impact and Investor Sentiment

All sectoral indices on the BSE closed in the red, with real estate, industrial, and healthcare stocks bearing the brunt of the sell-off. The smallcap and midcap indices also suffered significant losses, dropping by 3.4% and 2.9%, respectively. Despite domestic funds attempting to counterbalance the market with a net purchase of Rs 4,002 crore, the overwhelming net outflow of Rs 4,486 crore by foreign funds underscored the market's bearish sentiment.

Looking Ahead

As the market looks to the future, investors are keenly awaiting the Prime Minister's visit to the US, hoping for some relief in trade tensions. Additionally, the upcoming US inflation data is expected to play a crucial role in shaping market trends. Amidst this uncertainty, the only gainer among the 30 Sensex stocks was Bharti Airtel, highlighting the widespread impact of the current market downturn.