Sensex Tanks 1,390 Pts: Stock Market Plunge Ahead of US Tariffs

Mumbai, Apr 1 (PTI) Stock markets went into a tailspin on Tuesday with benchmark Sensex plunging by 1,390 points due to selling in IT and private bank shares amid heightened uncertainty ahead of the rollout of reciprocal tariffs by the US on April 2.

Starting the new financial year on a losing note, the 30-share BSE Sensex tanked 1,390.41 points or 1.80 per cent to settle at 76,024.51 as 28 of its components ended lower and only two advanced. During the day, the index plummeted 1,502.74 points or 1.94 per cent to 75,912.18.

The NSE Nifty dropped 353.65 points or 1.50 per cent to 23,165.70.

The key indices logged their steepest single-day losses in a month.

US President Donald Trump plans to roll out a set of reciprocal tariffs on April 2, which he says will be "Liberation Day" for the US.

From the Sensex pack, HCL Tech, Bajaj Finserv, HDFC Bank, Bajaj Finance, Infosys, Titan, ICICI Bank, Sun Pharma, Reliance Industries, Larsen & Toubro, Tech Mahindra and NTPC were among the biggest laggards.

Among gainers, IndusInd Bank jumped over 5 per cent while Zomato ended marginally higher.

"Amid heightened global volatility ahead of the anticipated US reciprocal tariff announcement tomorrow, the domestic market witnessed a significant sell-off today.

"The IT sector was among the hardest hit due to its substantial exposure to the US market, and real estate stocks fell following Maharashtra's upward revision of ready reckoner rates, which affect property valuations," Vinod Nair, Head of Research, Geojit Investments Limited, said.

Among other Asian markets, Seoul, Tokyo, Shanghai and Hong Kong settled in the positive territory. Markets in Europe were also trading higher. US markets ended mostly higher on Monday.

Additionally, rising oil prices further dampened market sentiment, he added.

Foreign institutional investors (FIIs) offloaded equities worth Rs 4,352.82 crore on a net basis on Friday, according to exchange data.

Stock markets were closed on Monday for Eid-Ul-Fitr.

Global oil benchmark Brent crude climbed 0.12 per cent to USD 74.86 a barrel.

In the 2024-25 financial year, Sensex jumped 3,763.57 points or 5.10 per cent, and Nifty climbed 1,192.45 points or 5.34 per cent.

On Friday, Sensex declined 191.51 points or 0.25 per cent to settle at 77,414.92. Nifty dropped 72.60 points or 0.31 per cent to 23,519.35.