Indian stock markets opened sharply higher on Friday, buoyed by a midweek rally in the US markets and a temporary easing of global trade tensions. The BSE Sensex surged 1,061.26 points to 74,941.53, while the NSE Nifty opened at 22,754.05, climbing 354.90 points.

The rally was triggered by US President Donald Trump’s announcement of a 90-day suspension of reciprocal tariffs on 75 countries, including India, amidst heightened trade friction with China. This move sparked optimism across global markets, temporarily calming investor nerves.

Market expert Ajay Bagga explained, “The sharp upmove in Indian equities is driven by Wednesday’s gains in the US markets. However, Thursday’s decline in US indices and the Gift Nifty’s lower premium suggest a more muted follow-through. With Monday being a market holiday in India, we may see some position unwinding later today.”

Despite Friday’s early surge, sentiment remains fragile. US markets reversed gains on Thursday, with the Dow Jones falling over 1,000 points and the Nasdaq sliding 4.5%, reflecting continued concern over escalating tariffs between the US and China. Beijing’s decision to raise tariffs on American imports to 84% was met by a counter from Washington, lifting tariffs on Chinese goods to 125%.

While the US Dollar Index (DXY) dropped to 100—potentially encouraging flows to emerging markets like India—analysts warned of persistent volatility. Safe-haven assets gained traction, with gold in India hitting a record Rs91,500 per 10 grams. The Japanese yen and Swiss franc also saw increased inflows.

In corporate developments, Tata Consultancy Services (TCS) missed earnings estimates, prompting several brokerages to revise their target prices downward.

As global uncertainties deepen, experts urge investors to remain cautious, recognizing that the current rally may be short-lived amidst ongoing trade disruptions and fragile sentiment.

Indian stock markets opened sharply higher on Friday, buoyed by a midweek rally in the US markets and a temporary easing of global trade tensions. The BSE Sensex surged 1,061.26 points to 74,941.53, while the NSE Nifty opened at 22,754.05, climbing 354.90 points.

The rally was triggered by US President Donald Trump’s announcement of a 90-day suspension of reciprocal tariffs on 75 countries, including India, amidst heightened trade friction with China. This move sparked optimism across global markets, temporarily calming investor nerves.

Market expert Ajay Bagga explained, “The sharp upmove in Indian equities is driven by Wednesday’s gains in the US markets. However, Thursday’s decline in US indices and the Gift Nifty’s lower premium suggest a more muted follow-through. With Monday being a market holiday in India, we may see some position unwinding later today.”

Despite Friday’s early surge, sentiment remains fragile. US markets reversed gains on Thursday, with the Dow Jones falling over 1,000 points and the Nasdaq sliding 4.5%, reflecting continued concern over escalating tariffs between the US and China. Beijing’s decision to raise tariffs on American imports to 84% was met by a counter from Washington, lifting tariffs on Chinese goods to 125%.

While the US Dollar Index (DXY) dropped to 100—potentially encouraging flows to emerging markets like India—analysts warned of persistent volatility. Safe-haven assets gained traction, with gold in India hitting a record Rs91,500 per 10 grams. The Japanese yen and Swiss franc also saw increased inflows.

In corporate developments, Tata Consultancy Services (TCS) missed earnings estimates, prompting several brokerages to revise their target prices downward.

As global uncertainties deepen, experts urge investors to remain cautious, recognizing that the current rally may be short-lived amidst ongoing trade disruptions and fragile sentiment.