Markets in red, Nifty below 23,400, Sensex down 300 points; Wipro slides 6%

The Indian domestic indices, Sensex and Nifty, opened on a weak note, with both trading in the red. The Sensex slipped below 76,900, while the Nifty is hovering around 23,350.

This comes as global sentiment remains cautious, following a decline in Wall Street after US Federal Reserve Chair Jerome Powell highlighted concerns over trade tensions impacting inflation control and growth.

Meanwhile, Asian markets are showing some strength, with Japan’s Nikkei and South Korea’s Kospi seeing positive movement. As the earnings season progresses, quarterly results of several major companies will be today, keeping key stocks in the spotlight.

Trump’s Tariff impact and Powell’s concerns- US President Donald Trump’s tariff policies have introduced unprecedented changes that are challenging the Federal Reserve’s ability to manage the economy, according to Federal Reserve Chair Jerome Powell.

Speaking at an event hosted by the Economic Club of Chicago, Powell noted that the ongoing tariff increases are far larger than initially expected, making it difficult to predict their long-term economic effects. He highlighted that these new policies could lead to a unique economic situation where inflation and unemployment rise simultaneously, a scenario the Federal Reserve has not had to confront in nearly half a century.

US-China trade tensions escalate- The trade war between the US and China continues to escalate, with the US now imposing a staggering 245% tariff on Chinese goods. In response, China has expressed its readiness to engage in negotiations but with some conditions. Beijing has called for the US to cease exerting extreme pressure and stop using threats or blackmail tactics.

Focus on earnings reports- Amid these global concerns, the Indian stock market will be looking closely at the latest earnings reports, with several key companies set to announce their quarterly results today. Major firms like Infosys, HDFC Life Insurance, HDFC Asset Management, Jio Financial Services, and Tata Elxsi, will announce its Q4 results today. Additionally, companies like Mahindra EPC Irrigation, Indosolar, and National Standard (India) will also release their financials, making today an important day for market watchers.