Trump’s looming tariff plan, RBI uncertainty, Q4 earnings caution, lack of fresh triggers, and technical resistance send Indian markets into a tailspin.
April 1, 2025: India’s stock market witnessed a major crash on April 1, with the Sensex plunging 1,390 points to close at 76,024.51 and the Nifty 50 dropping 354 points to 23,165.70. Here are the five key reasons behind the fall:
- Trump’s Tariff Shock:
US President Donald Trump’s announcement of “Liberation Day” tariffs on April 2 created global jitters. Though India might avoid harsh impact due to ongoing trade talks, investor sentiment remains shaky.
Also Read: Sensex Crashes 1,200 Points as Trump’s Tariff Threat Sparks Market Sell-Off
2. RBI MPC Meeting Looms:
Markets are anxiously awaiting the April 7–9 RBI Monetary Policy Committee meeting, where a 25 bps rate cut is expected. Clarity on inflation and growth outlook will be crucial.
Also Read: Gold Prices Hit ₹90,830— New All-Time High Amid Trump Tariff Fears & Global Uncertainty
3. Caution Ahead of Q4 Earnings:
Weak corporate earnings for FY25 so far have raised concerns. While improvement is expected, any disappointment in Q4 results could further pressure markets.
4. No Fresh Triggers:
After a strong March rally, the market lacks new drivers for upward movement. Trump’s tariffs, RBI stance, and upcoming earnings now take center stage.
5. Technical Weakness:
Experts say Nifty needs to decisively cross 23,750 for a bullish signal. Current levels suggest sideways to negative movement, with 23,000 as key support and 24,200 as resistance.
Meanwhile, investor wealth dropped ₹3 lakh crore in a single session as BSE market cap fell from ₹413 lakh crore to ₹410 lakh crore.
Tags:
Sensex Crash, Nifty Fall, Trump Tariffs, Stock Market Today, Indian Markets, RBI MPC, Q4 Earnings, Market Correction, BSE, NSE, Equity Outlook, Investing India, April 2025 Markets