FPJ News Service Mumbai

Indices Sensex and Nifty bounced back on Monday, and closed higher following a sharp rally in global shares and buying in banking stocks. The 30-share BSE Sensex climbed 341.04 points to settle at 74,169.95, snapping its five-day losing run.

The NSE Nifty rose by 111.55 points to 22,508.75. Shares of IndusInd Bank jumped nearly 6% in intra-day trade. The stock, however, closed at Rs 676.95, recording 0.72 per cent rise. FIIs sold equities worth Rs 4,488.45 crore on Monday, while domestic investors bought equities worth Rs 6,000.60 crore.

“The short-term trend is likely to be stable with a positive bias. The uncertainty surrounding the reciprocal tariffs kicking in from April 2, will certainly weigh on markets. India dubbed the ‘tariff King’ and ‘tariff abuser’ is unlikely to be spared by Trump. This will keep the market jittery, particularly the export oriented sectors will be anxious about the tariff announcements. Domestic consumption themes unaffected by tariffs will be stable,” Dr. V K Vijayakumar, Chief Investment Strategist at Geojit Financial Services told The Free Press Journal.

According to Vinod Nair, Head of Research at Geojit Financial Services, investors are closely monitoring the upcoming FED and BOJ meetings, with expectations leaning towards maintaining the current stance due to inflation risks associated with tariff uncertainties. The national market experienced a positive trading session, driven by strong performance in the healthcare and financial sectors.

However, lower participation from domestic investors due to tariff-related uncertainties may cause the market to fluctuate within a range in the near term. A decisive momentum will depend on signs of Q4 corporate earnings growth, while improving domestic economic indicators suggest a potential recovery.