Indian shares opened the week on a quiet note. Gains in consumer stocks helped keep the markets steady, even as global worries over U.S. tariffs made investors nervous.
The Nifty 50 dropped slightly by 0.1% to 25,436.9, while the BSE Sensex dipped 0.09% to 83,351.23.
It wasn’t all red. The consumer sector, led by Godrej Consumer, gave the markets a boost. The FMCG index rose by 1.2% after Godrej Consumer Products shares jumped 5%. The company projected double-digit revenue growth for the June quarter. That brought some much-needed cheer.
Tariff Tensions Make Markets Nervous
But there’s a bigger shadow looming.
U.S. President Donald Trump announced that new tariffs are coming. He said that the U.S. will finalize trade deals soon and inform other countries of higher tariffs by July 9. These new tariffs will start from August 1.
Trump also warned that any country seen “aligning with the anti-American policies” of BRICS would face an extra 10% tariff. India is part of BRICS, so naturally, this statement caused concern.
There is still no clear document or list, which is making investors uneasy.
Also Read Godrej Consumer Shares Jump 6% as Q1 Growth Outlook Improves
What Experts Are Saying
“Markets are holding their breath for trade deal clarity,” said Aishvarya Dadheech, Chief Investment Officer at Fident Asset Management.
He believes these tariff talks could shift foreign investments and hurt some sectors more than others.
Dadheech also pointed out that the market has already run up 15% since March. So now, the next direction depends on two things:
- A breakthrough in global trade talks
- Strong June-quarter earnings by Indian companies
Broader Market Trends
Small-cap and mid-cap stocks were mostly flat. Out of 13 key sectors, eight were in the red.
But not all news was negative.
Dhanlaxmi Bank rose 3.4% after it reported a 15.8% jump in total business for the June quarter.
Shilpa Medicare also gained 2% after the Brazilian drug regulator gave a clean review of its facility.
What to Watch This Week
The countdown to July 9 has begun. If the U.S. issues formal tariff notifications, expect markets to react.
Until then, Indian shares may stay range-bound, with consumer stocks and earnings updates acting as the key drivers.
