Global Trade War Fears Escalate

In a dramatic turn of events, global stock markets experienced significant turbulence as US President Donald Trump imposed higher tariffs on key trading partners. This move prompted retaliatory actions from Canada and China, further weakening equities worldwide.

The repercussions were felt on Dalal Street as well, with the Sensex closing below the 73,000 mark and the Nifty experiencing its tenth consecutive session of decline, marking its longest losing streak. Meanwhile, the rupee edged up by two paise, closing at 87.3 against the dollar.

Safe Havens and Oil Prices React

Investors flocked to safe havens, with the Swiss franc and the yen posting strong gains. Gold prices soared above $2,920 an ounce, and on MCX, gold contracts for April delivery increased by Rs 806 to Rs 86,190 per 10 grams.

Oil prices weren't spared, with Brent crude dropping below $70 a barrel for the first time since October, marking a more than 2% decline. This downturn opens avenues for Indian oil retailers to cut prices, though the government has yet to give the green light, allowing them to retain gains and contribute higher dividends and taxes to the Centre.

Global Equities Take a Hit

From Tokyo to New York, equities faced downward pressure. Mid-session, Wall Street's three major indices—Dow Jones, Nasdaq, and S&P—were each down nearly 2%. The Sensex closed 96 points lower at 72,990, recovering from a low of 72,634, while the Nifty fell by 37 points to 22,083. Foreign funds continued their selling spree, offloading approximately Rs 3,500 crore.