Trump Tariffs impact: SENSEX tumbles over 1,400 pts, NIFTY50 below 22,150; SMIDs see sharper cuts

The global markets came under heavy selling pressure amid growing trade tensions after US President Donald Trump on Thursday said his proposed 25% tariffs on Mexican and Canadian goods will take effect on March 4 along with an extra 10% duty on Chinese imports because deadly drugs are still pouring into the US from those countries, news agency Reuters reported.

The SENSEX fell as much as 1,427 points and the NIFTY50 index tumbled beow important psychological level of 22,200.

As of 12:54 pm, the SENSEX traded 1,416 points lower at 73,208, and the NIFTY50 index dropped 422 points, or 1.86%, to 22,125.

Markets across Asia were trading with a negative bias after Trump reiterated his stance on imposing trade tariffs. Japan's Nikkei fell 3.43%, Hong Kong's Hang Seng dropped 2.35%, China's Shanghai Composite declined 0.88%, and South Korea's KOSPI fell 3.13%.

Back home, selling pressure was visible across the board as all the 19 sector gauges compiled by the National Stock Exchange were trading lower, dragged down by the Nifty Mid Small IT and Telecom index's over 3% fall. Nifty Auto, Nifty IT, Nifty Metal, Nifty Pharma, PSU Bank, Nifty Realty, and Nifty Consumer Durable indices also fell between 1.6% and 3%.

Broader markets were underperforming their larger peers as the Nifty Midcap 100 index dropped 2.41% and the Nifty Smallcap 100 index tumbled 2.23%.

Selling pressure was so intense that only three shares in the NIFTY50 basket were trading higher. IndusInd Bank was the top NIFTY loser; the stock dropped 5% to ₹995. Mahindra & Mahindra, Tech Mahindra, Wipro, Infosys, HCL Technologies, Maruti Suzuki, Tata Consultancy Services, Bharti Airtel, and SBI Life also dropped between 2% and 4%.

The overall market breadth was extremely negative as 2,602 shares were declining while 536 were advancing on the BSE.