KKN Gurugram Desk | The stock market in India saw a mixed start on March 28, 2025, after initially opening in the red. However, by the mid-morning session, the market made a recovery and returned to the green zone. As of 10:45 AM, the Sensex was up by 49 points at 77,656, while the Nifty also gained 20 points, standing at 23,612. Despite an early fall, market sentiment appeared to stabilize, as many stocks showed positive movement across different sectors.

Market Opened Green, Then Hit a Snag, Now Back on Track

On the final trading day of the month, Indian equity markets showed a promising opening. The BSE Sensex gained 84 points to open at 77,690, while the NSE Nifty started the day with a marginal gain of 8 points at 23,600. However, after this positive start, the market saw a brief dip as global market cues impacted sentiment. By 9:45 AM, the Sensex had fallen by 255 points, reaching 77,350, and the Nifty also slipped by 72 points, settling at 23,519.

This drop was mainly attributed to global weakness in markets due to concerns over trade and tariff wars that have started to negatively affect investor sentiment. The US stock market saw a decline overnight, which contributed to the downtrend in Asian markets, including Japan’s Nikkei and South Korea’s Kospi.

Despite this initial setback, the markets slowly recovered and found their footing in the green zone again as more stocks turned positive across the exchanges.

Global Market Cues: Concerns Over Trade and Tariffs

The global markets have been experiencing volatility, primarily driven by the recent tariff announcements from the US President Donald Trump. His administration’s decision to impose new tariffs has affected market sentiment globally, especially in the Asian markets. Following this, the Asian stock markets started the day on a weak note.

• Japan’s Nikkei 225 fell by 1.41%, while the Topix index declined by 1.55%.

• South Korea’s Kospi also saw a decline of 1.54%.

• Hong Kong’s Hang Seng Index futures indicated a lower start.

These declines in the global markets sent ripples through the Indian markets as well, with major indices showing early losses. However, the domestic market managed to recover by the afternoon, bringing a sense of relief to investors.

US Stock Market Impact on Global Markets

On the previous day, the US stock market closed lower, with major indices such as the Dow Jones Industrial Average falling by 0.37%, closing at 42,299.70. Similarly, the S&P 500 lost 0.33%, closing at 5,693.31, and the Nasdaq fell 0.53%, ending at 17,804.03. These declines were driven by uncertainty surrounding trade policies and global geopolitical tensions, which led to broad-based selling in US stocks.

Auto stocks saw significant declines, with General Motors shares falling more than 7%, and Ford shares dropping by 3.9%. Aptiv and BorgWarner stocks also faced losses of approximately 5%. However, stocks like Tesla and Apple had a more positive outcome, with Tesla seeing a 0.4% increase in share prices, while Apple rose by 1.05%.

Sector-Wise Performance on Indian Stock Markets

Despite the initial decline, several sectors managed to turn around by midday, with some stocks showing strong gains. Here’s a quick overview of the key sectors and stocks in the Indian markets:

• IT Stocks: Infosys, TCS, and Wipro had a difficult start, but managed to recover by the mid-morning session, contributing to the overall market recovery.

• Automobile Stocks: As global auto stocks faced a downturn, some Indian automobile stocks followed suit but remained resilient. Stocks like Mahindra & Mahindra and Bajaj Auto were among the early decliners but showed signs of stability as the day progressed.

• Banking and Financial Services: The Banking Sector, including IndusInd Bank, HDFC Bank, and Axis Bank, saw some positive movement after an early dip, with market participants looking forward to the sector’s performance in the upcoming quarters.

• Power and Energy Stocks: Companies like Power Grid and NTPC were among the early losers but managed to turn positive as the day progressed, driven by investor optimism.

Indian Market Outlook for the Day

As the market heads toward the close of the session, key investors and analysts are keeping a close eye on the movements of Sensex and Nifty. The major benchmarks are showing promising signs of stabilization, despite earlier challenges. With the Nifty50 and Sensex recovering, market sentiment is starting to turn positive again.

However, caution remains among investors due to concerns over global trade issues and geopolitical tensions. The trade wars and uncertainties regarding tariff policies are expected to continue to weigh on market sentiment for the short term, though the recovery seen today could help ease investor anxiety.

Nifty Futures and Global Trade Concerns

In the Nifty Futures segment, Nifty futures were trading around the 23,758 level, signaling a minor discount of about 20 points compared to the previous close. This suggests that the domestic markets might open with a negative bias, following the global market cues. However, the recovery in the latter half of the session shows the resilience of the Indian market, which is recovering slowly despite the global headwinds.

Investment Strategies and Expert Insights

As we approach the end of the month, experts are advising caution and focusing on stock selection. Reliance Industries has been a top pick among experts, with 35 out of 38 analysts recommending a buy for the stock. Similarly, Infosys and TCS are expected to benefit from the ongoing digital transformation trends and long-term growth prospects.

For investors looking to make the most of the current market conditions, it is important to follow a diversified investment strategy. Focusing on large-cap stocks and stable sectors such as banking, IT, and energy can offer potential growth opportunities in the coming weeks. Experts also suggest paying attention to global economic developments, especially in the US-China trade talks, as they could have a direct impact on stock performance.

March 28, 2025, has been a day of ups and downs for the Indian stock markets, with initial declines followed by a recovery in the latter half of the day. As the month comes to an end, investors remain cautious due to the global market volatility caused by trade concerns. Despite the challenges, the Indian stock market’s ability to recover from early losses is a sign of resilience.

With key events like Eid approaching and global market uncertainties, it is essential for investors to stay informed and focus on stock selection, keeping a watchful eye on both domestic and global cues. The Sensex and Nifty are expected to maintain their upward trajectory, but investors should remain prepared for any further fluctuations in the short term.