Updated April 10th 2025, 13:23 IST
The GIFT Nifty is set to witness a strong upsurge, with signs indicating a possible 3% rise on Friday, April 11, 2025. This is after U.S. President Donald Trump announced a 90-day tariff freeze, a development that has boosted global investor sentiment.
President Trump's move to suspend the implementation of new tariffs for 90 days has been seen as a conciliatory measure towards foreign trade partners.
The President asserted that this halt is in answer to overtures from more than 75 countries calling for negotiations, with an intention to establish talks and mitigate growing trade tensions.
This change has had a direct positive effect on international markets. Large U.S. indexes saw significant increases: the S&P 500 jumped by 8%, the Dow Jones Industrial Average rose by 7%, and the Nasdaq Composite rose by 10%. These increases are indicative of renewed investor optimism and a possible shift towards a more positive trade environment.
The upbeat trend in international markets is likely to have a positive impact on Indian equities. The GIFT Nifty, an advance indicator for the Nifty 50 index, indicates a strong opening for Indian markets on April 11.
These sectors sensitive to global trade flows, such as information technology, metals, and pharma, are likely to drive the expected upswing.
Market analysts are optimistically guarded regarding the possibility of a sustained bull run. Although the tariff reprieve offers temporary relief and has initiated a rally, they consider it crucial to watch out for continuing trade negotiations and domestic economic signals.
The Reserve Bank of India's recent monetary policy shifts and company earnings announcements will also serve in deciding the direction of the market over the next few weeks.
The GIFT Nifty's expected 3% rise on Friday is an indication of a larger wave of optimism that is dashing across global financial markets following the U.S. administration's postponement of tariffs.
Investors are eagerly looking out for future events to gauge if this is the onset of a sustained bull trend or a short-term increase in market performance.
Published April 10th 2025, 13:23 IST