What is the story about?
The Indian stock market opened lower on January 19, 2026, aligning with the pre-market signals amid renewed global trade jitters from US President Donald
Trump's tariff threats on several European nations (including the UK and Denmark) linked to his push for acquiring Greenland. (Around 9:46 AM IST):
- BSE Sensex: 83,150.52, down 419.83 points or -0.50% (from previous close of approximately 83,570).
- NSE Nifty 50: 25,561.20, down 133.15 points or -0.52% (from previous close of around 25,694).
The decline is driven by:
- Global risk-off sentiment from Trump's announcement (10% tariffs starting Feb 1, 2026, escalating to 25% by June unless a Greenland deal is reached), affecting Denmark, UK, Norway, Sweden, France, Germany, Netherlands, and Finland. This has rattled transatlantic ties, with EU leaders calling it "blackmail" and holding emergency meetings.
- Broader caution over potential escalation in US protectionism, which could indirectly pressure emerging markets like India via FPI outflows, USD strength, or supply chain disruptions.
- Mixed domestic cues: Recent Q3 FY26 earnings from heavyweights (e.g., Reliance flat, ICICI Bank weak, HDFC Bank selective strength) have limited upside, with profit-taking in banks/IT after last week's rally.
- Drag: Banking/financials (pressure from global uncertainty and mixed results), IT (some consolidation post-earnings), and select exporters vulnerable to trade noise.
- Relative Resilience: Precious metals-related (gold/silver up as safe-havens amid tensions), or domestic-focused plays.
Markets have been volatile in early 2026, with Nifty/Sensex in a consolidation band (roughly 25,500–25,900 for Nifty). While the Trump tariffs add short-term noise, some analysts see limited direct impact on India (no immediate tariffs here), and potential positives if it accelerates India-EU FTA talks or weakens the USD for exporters (IT, textiles). Long-term resilience persists due to strong domestic growth and DII support offsetting FPI selling.
Trading remains cautious—watch for intraday support at Nifty 25,500 and resistance near 25,700–25,800. Key events today include Bharat Coking Coal IPO listing (expected debut) and any fresh global reactions. For real-time updates, check NSE/BSE live feeds or platforms like Moneycontrol/Business Standard. Volatility could persist if tariff rhetoric escalates further.
