The tariff war remains mired in uncertainty, as expected. US President Donald Trump’s appeal has been accepted, allowing him to challenge the lower court's ruling in the Supreme Court. This marks the beginning of a prolonged legal battle—suggesting continued uncertainty over tariffs. As a result, markets have shown limited immediate reaction.
US unemployment figures released yesterday showed a rise. However, markets believe the US Federal Reserve is unlikely to cut interest rates in June based on this data. Fed chair Jerome Powell recently assured President Trump that the interest rate decision would be based on facts, not politics.
India’s GDP data for the January–March quarter is due later today. Experts estimate quarterly growth to be around 7 percent.
In the derivatives market, Gfit Nifty closed at 24,939.00 on Thursday night. It rose to 24,956 and dipped to 24,932 in early trading today, suggesting a flat-to-positive market opening.
European markets ended lower on Thursday, disappointed by the lack of progress in trade negotiations.
The US markets opened strong but lost momentum later in the day. The uncertainty over Trump’s potential moves to counter the blocked tariff order prompted caution among investors. Subsequently, a US federal appeals court granted a temporary stay on the tariff ban. Trump is now expected to approach the Supreme Court seeking a full stay. Even if that is denied, his advisor Peter Navarro suggested that the administration may implement tariffs through alternative legal routes.
The Dow Jones Industrial Average closed 117.03 points (0.28 percent) higher at 42,215.73. The S&P 100 index gained 23.62 points (0.40 percent) to close at 5,912.17, while the Nasdaq Composite rose 74.93 points (0.39 percent) to finish at 19,175.87.
However, US futures were weak on Thursday night. Dow futures fell 54 points (0.13 percent), while S&P and Nasdaq futures were down 14.25 points (0.24 percent) and 71 points (0.33 percent), respectively.
Asian markets are also trading in the red today. Japan’s Nikkei fell 1.65 percent, and South Korea’s Kospi dropped by half a percent in early trade.
The Indian market saw renewed volatility. It opened strong on tariff hopes but slipped into losses before recovering after noon. It ended the day with modest gains.
On Thursday, the Nifty rose 81.15 points (0.33 percent) to close at 24,833.60. The Sensex gained 320.70 points (0.39 percent) to end at 81,633.02. Bank Nifty added 129.08 points (0.23 percent) to close at 55,546.05. The Nifty Midcap 100 index surged 315.85 points (0.55 percent) to 57,457.25, while the Smallcap 100 index climbed 105.40 points (0.58 percent) to 17,889.40.
The broader market trend was mixed. On the BSE, 1,933 stocks advanced while 2,056 declined. On the NSE, 1,510 stocks rose and 1,373 declined. Fifty-eight stocks hit 52-week highs, while 24 touched 52-week lows. A total of 106 stocks hit upper circuits and 81 hit lower circuits.
Foreign institutional investors (FIIs) made net purchases worth ₹884.03 crore in the cash market on Thursday. Domestic institutional investors (DIIs) bought shares worth ₹4,286.50 crore.
The Nifty held support at 24,700. If this is breached, the next support zone is expected around 24,450–24,500. A move above 24,800 could open the path towards 25,100. Today’s key support levels are 24,720 and 24,670, with resistance at 24,885 and 24,935.
Gold prices surged after the temporary stay on the tariff ban reversed earlier losses. On Thursday, gold jumped $30.80 an ounce to close at $3,319.20. It later edged slightly lower to $3,318.
In Kerala, gold prices dropped ₹320 on Thursday to ₹71,160 per sovereign. An increase in price is expected today. Silver stood at $32.91 an ounce.
Rubber prices fell 0.24 per cent in international markets to 166.20 cents per kg. Cocoa dropped 5.10 per cent to $9,166.85 per tonne. Coffee and tea prices also fell.
The dollar index continued to slide, closing at 99.28 yesterday and trading at 99.33 this morning.
The dollar weakened against major currencies. The euro rose to $1.1373, the pound reached $1.349, and the Japanese yen strengthened to 143.69 per dollar. The yield on US 10-year Treasury bonds eased to 4.428 per cent.
The Indian rupee weakened by 14 paise on Wednesday to close at 85.50 per dollar. The Chinese yuan remains steady at 7.20 per dollar.
Cryptocurrency prices remained under pressure. Bitcoin fell two per cent to $105,000, while Ether traded near $2,590.
