Us stock market falls: US President Donald Trump on Monday announced to put 25 percent new tarf under the trade deal over his business partner countries South Korea and Japan. These new rates will be applicable from August 1. Along with this, Trump has also expressed the possibility of a mini trade deal with India soon. He warned Japan and South Korea that if any country imposes counter -tariffs, then the US will be imposed tariff in proportion to the same rate.

US market declines

Here, the US market has seen a decline between Trump’s announcement of this new tariff and fears of trade war. Dow Jones went down 1.2 percent i.e. 525 points, while Nasdaq composite fell down one percent. Whereas, S&P 500 has also fallen 0.9 percent.

Stocks of Honda Motor and Toyota Motor have also fallen by 4 percent, while Google’s parent company Alphabet Inc. and Apple’s stocks also affected it and it is 1 percent. The stocks of NVIDIA and AMD have also seen a decline.

10 percent additional tariff on BRICS group

President Donald Trump also threatened to put 10 percent of additional tariffs over the countries of the BRICS group supporting anti -American policies. The threat by Trump was given at a time when the US tariff was criticized without being named Trump during a conference in Brazil.

Significantly, the group of BRICS countries includes Brazil, Russia, China, India and South Africa. Apart from this, when the expansion was done, Indonesia, Egypt, Iran, Ethiopia and UAE were also included in it. Also, Belarus, Vietnam and Cuba are also included.

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There has been a tremendous boom in the markets for the seventh consecutive day. In such a situation, this jump has been seen in both Sensex and Nifty. With this, the compensation in the year 2025 has been completed. Such the enthusiasm of investing in the Indian market from foreign investors and heavy purchases in banking shares show tremendous. Now let us know what has been the reason for this market fast:

1-A tremendous return of the foreign investor

Foreign investors are once again seen returning to the stock market. On Friday, FPI made a net purchase of Rs 7,470.36 crore. However, the main reason for this is the change in the FTSC index. With this, the period of selling from foreign investors in October 2024 now seems to be stopping.

This has strengthened the sentiment of investors. According to Moneycontrol Dock Com Com, Jio Jeet Financial Chief Investment Strategist V.K. Vijay Kumar said that FPI selling, strengthening of rupee, reduction in inflation and strength of Indian rupee have returned so much confidence in the market.

Rupee stronger against 2-dollar

The Indian rupee climbed 37 paise to close at 85.61 per dollar against the US dollar on Monday. The rupee has benefited from dollar and foreign investment in the domestic market.

3-strong global signal

The third reason for the tremendous rise in the stock market is signs of strength in the global market. There is a phase of strength in the US stock market and an increase in the Indian stock market as well. US President Donald Trump has indicated to adopt a selective approach over a possible tariff. Donald Trump can only target countries whose trade with the US is surplus.

After these signs, now the fusers of American stocks have increased. At around 10 am in Somavar, Dau Future was trading with a gain of 0.47 percent. Earlier on Friday, the SNP 500 index and Dow Jones Industrial Average were 0.1%. At the same time, 0.5% jumped in Nesdech Composite. Investors are now monitoring the April 2 deadline for action related to possible tariffs.

4- Tremendous boom in banking stocks

The fourth reason for the boom in the stock market was a tremendous rise in banking stocks. On Monday, the Nifty Bank index jumped 1 thousand points and reached 51635 level during the business. While the shares of Kotak Mahindra Bank, Canara Bank and Punjab National Bank have witnessed the highest increase of 3 percent.

Improvement in 5-directors’ sentiments

The fifth and last reason for sharing the stock was improvement in investors’ sentiments. The Sensex saw a great rise of 3076.6 points, or 4.16 percent last week. At the same time, the Nifty also jumped up to 953.2 points i.e. 4.25 percent. Due to this, there has been an improvement in the sentiment of investors.

Siddharth Khemka, Research Head Wealth Management of Motilal Oswal Financial, said that the return of FII can continue in the stock market due to attractive valuation and better economic data.

Also read: Stock market accelerates for the seventh consecutive day, Sensex crosses 78000 as soon as it opens, this year’s decline has been made