MUMBAI: India’s shares fell on Tuesday due to uncertainty over Donald Trump’s plans for India after the US President announced trade tariffs on neighbouring countries within hours of taking office.
The Nifty 50 fell 1.37% to end at 23,024.65, while the BSE Sensex shed 1.6% to finish at 75,838.36.
Investors around the world took stock of Trump, who soon after assuming office on Monday, floated the idea of universal tariffs and announced trade tariff plans on Mexico and Canada as soon as Feb. 1. That spooked domestic investors on possible actions aimed at India. During his presidential campaign, Trump had threatened to impose tariffs on countries such as India, Brazil and China.
“Uncertainty over Trump’s tariff plans on India spooked domestic markets on the day and triggered a rise in volatility,” said G Chokkalingam, founder and head of research at Equinomics Research.
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