Representative image
| Photo Credit: Getty Images/iStockphoto

Equity benchmark indices Sensex and Nifty declined in early trade on Thursday (April 23, 2025) amid profit-taking after a seven-day rally and muted trend in Asian markets.

The 30-share BSE benchmark declined 242.01 points to 79,874.48 in early trade. The NSE Nifty went down by 72.3 points to 24,256.65.

In the past seven trading days, the BSE benchmark gauge zoomed 6,269.34 points or 8.48% and the Nifty jumped 1,929.8 points or 8.61%.

From the Sensex firms, Eternal, Bharti Airtel, ICICI Bank, Mahindra & Mahindra, HCL Technologies, Reliance Industries, and HDFC Bank were among the laggards.

IndusInd Bank, Tech Mahindra, Nestle, Bajaj Finance, Axis Bank, and Tata Motors were among the gainers.

In Asian markets, South Korea’s Kospi index, Shanghai SSE Composite, and Hong Kong’s Hang Seng were trading lower while Tokyo’s Nikkei 225 quoted in the positive territory.

U.S. markets ended sharply higher on Wednesday (April 23, 2025). Nasdaq Composite jumped 2.50%, S&P 500 surged 1.67% and Dow Jones Industrial Average climbed 1.07 per cent.

Global oil benchmark Brent crude climbed 0.12% to $66.20 a barrel.

Foreign Institutional Investors (FIIs) bought equities worth ₹3,332.93 crore on Wednesday (April 23, 2025), according to exchange data.

The BSE benchmark jumped 520.90 points or 0.65% to settle at 80,116.49, the highest closing level since December 18, on Wednesday (April 23, 2025). The Nifty rallied 161.70 points or 0.67% to 24,328.95.

The US dollar rebounded on Wednesday, climbing against major currencies after President Donald Trump eased tensions over the Federal Reserve and trade with China. The shift offered investors much-needed relief, with market sentiment buoyed by Trump’s decision not to remove Fed Chair Jerome Powell and speculation that trade tariffs on Chinese goods could be reduced.
The greenback had been under pressure, lingering near three-year lows amid uncertainty over Trump’s tariff policies and repeated criticism of the Federal Reserve. However, comments from both Trump and Treasury Secretary Scott Bessent suggested a possible thaw in US-China relations and signalled a willingness to engage in deeper economic collaboration.
Trump, speaking from the Oval Office, said: “I have no intention of firing him,” referring to Powell. “I would like to see him be a little more active in terms of his idea to lower interest rates.” The remark came after days of speculation over the Fed’s independence, which had rattled investors and triggered volatility in global markets.
The dollar index rose 0.297% to 99.86 in early Asian trading, before stabilising as cautious optimism returned. The euro slipped 0.86% to $1.132, reversing gains made earlier in the week. Helen Given of Monex USA said the renewed dialogue with China was a key factor: “People are very relieved that there’s potential for discussions between the two countries.”
Bessent reinforced that message in Washington, suggesting any easing of tariffs would not be unilateral and would depend on progress in talks with Beijing. He also voiced strong criticism of the IMF and World Bank but affirmed US support for their roles, distancing the Trump administration from earlier proposals advocating a US withdrawal.
Meanwhile, Trump hinted at further tariffs if no deals were made. “If we don’t have a deal… we’re going to set the tariff,” he said. He also suggested auto tariffs on Canada could increase, despite existing exemptions under the US-Mexico-Canada Agreement.
The markets responded positively. Dow futures jumped 1.9%, S&P 500 rose 2.6%, and Nasdaq gained 3% before the opening bell. Tech stocks surged, with Tesla up 7% after Elon Musk pledged to focus more on the company and less on Washington politics. Apple and Meta also rose sharply despite EU fines.

Ajay Seth, Finance Secretary.
| Photo Credit: ANI

The direct hit from tariffs introduced by Donald Trump’s administration on India could shave off between 0.2-0.5 percentage points from GDP growth, the country’s Finance Secretary Ajay Seth said on Wednesday (April 23, 2025).

“Now there is a sign of that…we grow about 6.5% in the current year,” said Mr. Seth, speaking at a Hudson Institute event on the sidelines of the Spring Meetings of the International Monetary Fund and World Bank in Washington.

“Second order (effects) would be important,” said Mr. Seth, referring to concerns that trade turmoil would slow global growth.

He added that he expected potential growth rate of around 7% could be achieved over the next decade, though India needed to expand its economy at a rate faster than that to achieve its ambitious longer-term targets.

Mr. Seth also said that the delegation from India was in town for further negotiations on trade with the U.S. administration, though he declined to giver further detail on what meetings were planned.