India Leads Global Markets in Recovery Post Trump's Tariff Announcement

Both the Sensex and Nifty surged significantly on Tuesday, marking India as the first major market to fully recover from the losses triggered by US President Donald Trump’s recent tariff announcement. The NSE Nifty 50 Index rose as much as 2.4 per cent in Mumbai, surpassing its April 2 closing level and outpacing global peers.

Why Investors Are Turning to Indian Equities

Investors are increasingly viewing Indian equities as a safe haven amidst global trade tensions. "We remain overweight India in our portfolios," said Gary Dugan, CEO of The Global CIO Office. The domestic-focused economy, limited trade exposure to the US, and falling oil prices are contributing to this positive sentiment.

Sector-Specific Gains and Future Outlook

Auto stocks responded sharply to Trump’s announcement of a 90-day delay in retaliatory tariffs, with significant gains across the board. Electronics manufacturers and banking stocks also saw notable increases. The rally is further supported by expectations of aggressive monetary easing from the Reserve Bank of India, with projections of the Sensex hitting 82,000 by December 2025.