Indian Markets Plunge as Trump’s Tariff Shock Sparks Sixth Straight Weekly Loss

Indian equities tumbled to three-month lows after former US President Donald TRUMP announced a doubling of tariffs on Indian goods to 50%, effective August 27. The BSE Sensex plummeted 765 points (0.95%) to close below the critical 80,000 level at 79,857.79, while the Nifty 50 dropped 232 points (0.95%) to 24,363.30.

This marks the sixth consecutive weekly decline for both indices—the longest losing streak since the 2020 COVID-19 market crash. Trump's hardline stance, which rejects trade negotiations until existing disputes are resolved, specifically targets India's continued imports of Russian oil. Analysts describe the MOVE as one of the steepest tariff hikes ever imposed on a major US trading partner.

Sectoral indices across realty, metals, auto, and pharma bore the brunt of the sell-off. The Nifty Midcap 100 plunged 1.64%, reflecting broad-based risk aversion. Market participants now brace for prolonged volatility as US-India trade relations enter uncharted territory.