Global Markets Tumble Amid 'Trump Uncertainty Discount'

Indian stock markets witnessed a steep decline due to significant sell-off in U.S. markets influenced by the 'Trump Uncertainty Discount.' Experts attribute this to President Trump's tariff policies, which have injected unprecedented levels of uncertainty into global markets, trade, and economies during the early days of his administration.

In a global ripple effect, the Indian stock markets plunged sharply Tuesday, in response to a severe sell-off on U.S. exchanges, attributed to the 'Trump Uncertainty Discount.' This phenomenon reflects widespread jitters ignited by President Trump's tariff policies, which have disrupted global supply chains, trade, and economies.

The Nifty 50 index succumbed to a decline, opening at 22,345.95, down 114.35 points or 0.51%, while the BSE Sensex dropped 371.29 points, trading at 73,743.88. Market expert Ajay Bagga indicated these fluctuations stem from deep-rooted apprehensions over Trump's economic interventions, which have sparked what he calls a 'risk-off' sentiment across markets.

Sector-specific indices on the NSE, notably IT, metal, and media stocks, displayed marked corrections. The Nifty Bank index also experienced significant losses, falling over 0.7%. In parallel, investors observed similar declines across major Asian indices, with Japan's Nikkei 225 and Taiwan's weighted index tumbling by over 1.7% and 1.86%, respectively.

(With inputs from agencies.)