India’s benchmark indexes on Tuesday rebounded from the previous session’s sharp selloff as bargain hunting and a broader recovery across Asia lifted sentiment amid hopes of US tariff negotiations.

The Nifty 50 rose 1.08% to 22,409.15 while the BSE Sensex gained 1% to 73,860.7 respectively, as of 10:22 a.m. IST.

Both had risen about 1.9% earlier in the morning.

“The rebound comes as no surprise as markets are oversold and remain ripe for a rebound led by tariff-agnostic companies and sectors,” said Yogesh Kansal, cofounder of online trading platform Appreciate.

The Nifty and Sensex tumbled 3.2% and 3% respectively on Monday — their biggest single-day drop in 10 months — as fears of a global recession flared following new US tariffs.

Indian benchmarks log worst session in 10 months

Asian stocks too bounced off 1-1/2-year lows and US stock futures pointed higher on the day.

Japan’s Nikkei 225 jumped 6.3%, outperforming other Asian peers.

The uptick came after US President Donald Trump said Japan would send a delegation to negotiate, boosting hopes that Washington might soften its tariff stance.

However, the US President also vowed additional 50% levies on Chinese imports, if Beijing maintains its retaliatory tariffs, capping optimism. All 13 major Indian sectoral indexes traded higher.

Broader markets also firmed up, with small-cap and mid-cap indexes gaining about 1.2% each.

Titan jumped 5% after the jeweller and watchmaker said standalone revenue rose 25% in the March quarter, helped by rallying gold prices.

Electronic equipment maker Bharat Electronics gained 3.4% after winning a 22 billion-rupee order ($257.4 million) from Indian Air Force for electronic warfare suites.