Trump Tariff Turmoil: Nikkei Plummets Over 5% Following US Market Bloodbath!

In the world of finance, turbulence is the name of the game as the Asian markets took a nosedive upon opening on Friday. Notably, Japan’s Nikkei 225 index plummeted by 5.4%, settling at 32,744. This decline follows escalating tensions between the United States and China, a situation exacerbated by actions taken during the Trump administration. The ripple effects were felt in US markets as well, with the Nasdaq plunging 4.6% in Thursday’s trading session. Despite this downturn, the GIFT Nifty painted a brighter picture, showing an increase of 1.8% to reach 22,900.

Key Factors Influencing Today’s Market

Escalating Tariffs: The United States has ramped up its tariffs on China significantly, with a new rate of 145% that includes a 125% tariff on top of a 20% base rate. This aggressive move has prompted China to respond with its own 84% tariffs on American goods. A White House official noted that these tariffs were implemented because Beijing missed a crucial deadline to lift its retaliatory measures.
Temporary Tariff Relief: In a surprising turn, Trump announced a 90-day suspension on new reciprocal tariffs from most countries on Wednesday. While this may provide a short-term reprieve, investors remain concerned about the long-term impact of the heightened tariffs on China.
Surge in Gold Prices: Investors turned to gold as a safe haven, leading to a significant increase in prices. On Thursday, gold futures surged by 3.2%, reaching $3,177.50—the highest rise since April 2020. This week alone, gold prices have climbed nearly 4.7%, setting the stage for the best weekly performance since November 2024.

Market Highlights

BHEL’s Strategic Move: Bharat Heavy Electricals Limited (BHEL) is making headlines with its recent Memorandum of Understanding (MoU) with Italy’s Nuovo Pignone International s.r.l. The agreement, signed on April 9, 2025, will last for 10 years. BHEL will lead efforts in revamping compressor stations in India’s fertilizer sector, with Nuovo Pignone acting as the designated vendor.
Sun Pharma’s Legal Victory: In a significant win for Sun Pharma, the US Court of Appeals for the Federal Circuit has lifted a preliminary injunction, allowing the company to introduce its product Leqselvi in the United States. This decision, announced on April 10, comes amid ongoing litigation with Incyte Corporation.

As market players navigate these complexities, the focus remains on how these developments will shape trading strategies and investment decisions in the coming days.