Synopsis : Indian equity markets opened on a flat note Monday as investors weighed concerns over a potential US-India trade fallout and the recent SEBI action against Jane Street. Nifty hovered around 25,450 while Sensex remained range-bound near 83,400.
Indian stock markets began the week on a subdued note, with the NSE Nifty 50 hovering near 25,450 and the BSE Sensex trading flat at around 83,400, as investors braced for potential fallout from US tariff threats and domestic regulatory developments.
Reports suggest that US President Donald Trump may impose an additional 10% tariff on countries without finalized trade agreements by August 1, reviving fears about a possible strain in India-US trade ties. Although both nations are reportedly working on an interim trade deal, the markets remain jittery ahead of the July 9 discussions.
Sector Overview:
Flat Indices: Bank Nifty stayed muted around 57,013, while Nifty Midcap 100 opened cautiously at 59,680.
Top Gainers: Hindustan Unilever, Asian Paints, Tata Consumer Products, and Reliance Industries saw modest early gains.
Key Laggards: Bharat Electronics, Tech Mahindra, Titan, Tata Steel, and Hindalco remained under pressure.
Market Sentiment:
VK Vijayakumar, Chief Investment Strategist at Geojit Financial Services, said:
“Concerns surrounding a US-India trade deal and the fallout of SEBI’s report on Jane Street will influence market sentiment. An interim deal before the tariff deadline would be a big relief.”
Vijayakumar also warned that derivatives trading volume may decline due to the SEBI probe, potentially impacting stock exchanges and brokers, thus weighing on related stocks.
SEBI-Jane Street Fallout:
Markets are also digesting the SEBI report that accused Jane Street of manipulating Indian equity markets. The crackdown has raised concerns over derivative market activity and regulatory tightening.
Global Trade Watch:
While President Trump reaffirmed the August 1 deadline for tariffs, Treasury Secretary Scott Bessent clarified that the extension gives countries more time to seal trade pacts. Investors will keenly watch any announcements regarding a US-India deal this week.
Disclaimer : This article is for informational purposes only. It does not constitute financial advice or a recommendation to buy or sell any securities. Please consult a certified financial advisor before making any investment decisions.
