A man walks near a screen outside the Bombay Stock Exchange (BSE) in Mumbai, on August 28, 2025
| Photo Credit: Reuters
Stock market benchmark indices tumbled on Thursday (August 28, 2025), with the Sensex cracking 706 points, as the additional 25% tariff imposed by U.S. President Donald Trump on India for its purchases of Russian oil came into effect.
Besides this, persistent foreign fund outflows also dented investors’ sentiment.
The additional 25% tariff imposed by the U.S. on India came into effect on Wednesday (August 27, 2025), bringing the total amount of levies imposed on New Delhi to 50%.
The 30-share BSE Sensex tanked 705.97 points or 0.87% to settle at 80,080.57. During the day, it dropped 773.52 points or 0.95% to 80,013.02.
The 50-share NSE Nifty dived 211.15 points or 0.85% to 24,500.90.
From the Sensex firms, HCL Tech, Infosys, Power Grid, Tata Consultancy Services, HDFC Bank, Hindustan Unilever, Bharti Airtel and ICICI Bank were among the major laggards.
However, Titan, Larsen and Toubro, Maruti and Axis Bank were among the gainers.
“Domestic equities ended lower as pessimism took hold following the implementation of tariffs on Indian goods, dampening investor sentiments. While the cotton import duty exemption briefly lifted hopes of policy support to counter tariff impacts, triggering a short-lived intra-day recovery, investor mood remained fragile, with largecaps declining and mid and smallcaps underperforming amid risk-off sentiment,” Vinod Nair, Head of Research, Geojit Investments Limited, said.
The government on Thursday extended duty-free import of cotton by three more months till December 31 to support textile exporters facing steep 50 per cent tariffs in the U.S.
In Asian markets, South Korea’s Kospi, Japan’s Nikkei 225 index and Shanghai’s SSE Composite index settled in positive territory while Hong Kong’s Hang Seng ended lower.
European markets were trading on a mixed note.
The U.S. markets ended in positive territory on Wednesday (August 27, 2025).
Global oil benchmark Brent crude dipped 0.62% to $67.63 a barrel.
Foreign Institutional Investors (FIIs) offloaded equities worth ₹6,516.49 crore on Tuesday (August 26, 2025), according to exchange data. DIIs, however, bought stocks worth ₹7,060.37 crore.
The domestic equity markets were closed on Wednesday (August 27, 2025) on account of Ganesh Chaturthi.
On Tuesday (August 26, 2025), the Sensex tanked 849.37 points or 1.04% to settle at 80,786.54, and the Nifty dropped 255.70 points or 1.02% to 24,712.05.
Published – August 28, 2025 04:14 pm IST
