Stock Market Plunges: Trump's Tariff Threat Triggers Global Sell-off, Sensex, Nifty Down
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News1819-01-2026, 11:51

Stock Market Plunges: Trump's Tariff Threat Triggers Global Sell-off, Sensex, Nifty Down

  • Indian stock markets opened the week with significant losses, with Sensex falling over 622 points and Nifty down by 182 points.
  • The primary cause for the decline is US President Donald Trump's threat to impose 10% tariffs on goods from eight European countries, potentially rising to 25%.
  • Global trade concerns and potential retaliatory measures from Europe could lead to increased market volatility and a trade war.
  • India VIX, the volatility index, rose by over 5%, indicating investor caution and anticipation of higher market fluctuations.
  • Continuous selling by Foreign Institutional Investors (FIIs), withdrawing Rs. 4,346 crores in a single day, and weak quarterly results from companies like Wipro also contributed to the market downturn.

Why It Matters: Trump's tariff threats and FII selling caused a major stock market crash, signaling global trade war fears.

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