Opening Bell - 22 / 01 / 25

Stock Market Updates

Opening Bell - Morning Commentary

Absence of any explicit orders on tariffs buoyed US markets

American stocks reacted positively to what appears to be a more measured rollout of trade policy from the Trump administration. Soon after taking over as the 47th US President today, Donald Trump signed a record number of executive orders, covering a wide range of topics, from requiring federal workers to return to the office full-time to revoking birthright citizenship and pulling the United States out of the Paris Climate agreement. There was an absence of any explicit orders on tariffs.

The Dow Jones rose 537 points to 44025, the S&P 500 gained 52 points to 6049 and the Nasdaq gained 126 points to 19756 to close near its highest level since Jan. 6, logging its fifth daily gain out of the last six trading sessions. Small-cap stocks also outperformed today, with the Russell 2000 gaining over 1.5%, reflecting a risk-on tone in equity markets.

The U.S. Dollar Index was lower by more than 1%. Trump's decision not to impose immediate tariffs sent the benchmark 10-year yield to its lowest level in three weeks.

The Indian benchmark indexes fell further on Tuesday, closing at their lowest level since June, as investors were concerned about US President Donald Trump's proposed trade tariffs. The rise in volatility coincides with the weekly expiry of the Sensex futures contracts.

Nifty failed to surpass its early morning high of 23426, remaining under bearish pressure throughout the session. The index has now declined over 13% from its all-time high of 26,277, closing at its lowest point in the current downtrend. On the daily chart, the Nifty formed a bearish engulfing candlestick pattern, encompassing the movement of the previous six trading sessions, with the next support level at 22800 and resistance at 23200.

Indian markets are poised to open modestly higher today on positive global cues.