India’s NIFTY50 first major market to recover from Trump tariff hit

Indian stock exchanges have become the first major markets to recover losses that marred stocks after US President Donald Trump's additional tariff became effective earlier this month.

Intraday, NIFTY rose as much as 2.4%, crossing the April 2 closing level of 23,332.35.

The 50-share NIFTY50 settled 2.19% higher at 23,328, while the 30-stock SENSEX jumped 1,577 points to end at 76,734.

The recent surge comes after the United States temporarily relaxed some of the tariffs on electronics such as smartphones and computers.

Taking to Truth Social, Trump said, "NOBODY is getting 'off the hook' for the unfair Trade Balances, and Non-Monetary Tariff Barriers...There was no Tariff 'exception' announced on Friday. These products are subject to the existing 20% Fentanyl Tariffs, and they are just moving to a different Tariff 'bucket'."

ITC Chairman Sanjiv Puri said that India is much better placed to deal with market disruptions after the Trump tariff saga.

"It's difficult to say how it will evolve, but my own sense is that at the end of it, I think India is going to be much better placed, because we do see the possibility of several FTAs being inked, which industry has been looking forward to for some time, hopefully during the year, whether it's the EU, UK, and, of course, the US, where there is, I think discussions, dialogue happening at a faster rate," he said.

The US also hinted at a potential temporary pause on auto tariffs, giving carmakers time to adjust their supply chains.

Last week, the US paused additional tariffs on several countries, including India, for 90 days. However, 10% baseline levies would be in force.