Key Sectors On High Alert Ahead Of Trump's Tariff Announcement

As global markets brace for a crucial tariff announcement, investors are on edge, anticipating its impact on equities worldwide. With expectations running high, the Indian stock market has already shown signs of nervousness in the lead-up to this event. In this episode of Market Today on Business Today TV, Sharad Avasthi, Head of Research (PCG) at SMIFS, provides key insights into what the announcement could mean for India and the broader global trade landscape. Sharad Avasthi suggests that while the tariff changes may have a significant impact on major economies like Canada, Mexico, China, Japan, and Germany, but India is likely to avoid major shocks. According to Sharad Avasthi, India might even see some tariff rationalisation, and there is a strong possibility that the US may not impose harsh measures on Indian exports. He also notes that while some sectors could face pressure, the overall impact on India is expected to be manageable. Among the vulnerable sectors, metals could see a reaction due to their recent recovery, while the auto sector, particularly Tata Motors, may bear the brunt of trade restrictions, especially through its UK-based JLR operations. The beverages and distilleries sector might also witness selling pressure, given its high valuations. However, Sharad Avasthi believes that despite initial volatility, Indian markets may experience a relief rally once the dust settles. With markets already pricing in potential risks, how should investors navigate this uncertainty? Watch now for expert insights on the tariff storm ahead and its implications for Indian equities.