Metal stocks led losses in Indian shares on Monday after President Donald Trump said he would impose new tariffs on all steel and aluminum imports into the U.S., in addition to further reciprocal tariffs.
The Nifty 50 (.NSEI), opens new tab was down 0.75% at 23,385.75 as of 10:14 a.m. IST, while the BSE Sensex (.BSESN)
, opens new tab shed 0.75% to 77,285.48.
Twelve of the 13 major sectors declined. The more domestically focussed smallcaps (.NIFSMCP100), opens new tab and midcaps (.NIFMDCP100), opens new tab fell about 1% each.
The metals index (.NIFTYMET)
, opens new tab declined 3% after the U.S. president said on Sunday that he would impose 25% duties on steel and aluminium imports, on top of existing metals levies, along with reciprocal tariffs on all countries to match their tariffs.
Tata Steel (TISC.NS), opens new tab and JSW Steel (JSTL.NS)
, opens new tab fell about 4% each, topping the list of Nifty 50 laggards.
Private lender HDFC Bank (HDBK.NS), opens new tab and oil-to-telecom conglomerate Reliance Industries (RELI.NS), opens new tab, the two heaviest stocks on the Nifty 50, lost about 1 and 1.5%, respectively.
The risk of fresh U.S. tariffs also fuelled losses in the rupee, which dropped to a lifetime low on Monday.
“Investors are worried about the uncertainty induced by frequent shifts in policy of the U.S. government regarding tariffs,” said Shrikant Chouhan, head of equity research at Kotak Securities.
Lacklustre third-quarter earnings and uninspiring management commentary have also weighed on investor sentiment, Chouhan said.
Among individual stocks, state-run explorer Oil India (OILI.NS)
, opens new tab fell 4% after reporting third-quarter profit that missed analyst estimates as lower selling prices weighed.
Shipping Corporation of India (SCI.NS)
, opens new tab lost 5.5% after posting a lower December-quarter profit.
Water treatment plant maker VA Tech Wabag (VATE.NS), opens new tab rose 5.3% after winning an order worth $364 million and posting a higher quarterly profit.