Sensex: the US Ambassador’s remarks on the trade deal, the Indian stock market recovers; the is up 1,000 points and the Nifty is back at 25,800

Sensex: After US Ambassador Sergio Gor said that trade discussions between the United States and India are still ongoing, Indian benchmark indexes rebounded from their day’s lows on Monday. Following US President Donald Trump’s vow to drastically increase taxes on Indian imports last week, market mood had begun to wane, but the comments helped alleviate some of the pressure. The BSE Sensex was up 133 points, or 0.16 percent, at 83,709 at the halfway point of the day, while the Nifty 50 was up 50 points, or 0.19 percent, at 25,733.

But the pressure on the larger market persisted. The indexes of the Nifty Midcap 100 and Smallcap 100 saw declines of 1.24 and 1.7%, respectively. Sector-wise, the Nifty Realty index dropped by 1.6%, the Nifty Pharma index by 0.97%, the Nifty Auto index by 0.6%, and the Nifty IT and Bank indexes by around 0.5% apiece.

Benchmark indexes saw a dramatic rebound from their intraday lows after the ambassador’s comments. Around 3 p.m., the Nifty rose to 25,801.40, up 118.10 points, or 0.46 percent, while the Sensex recovered more than 1,000 points to trade at 83,909.67, up 333.43 points, or 0.4%.India is Washington’s most important nation, and both parties are actively working to solidify a trade agreement,” Gor said on Monday. He made reference to the relationship between US President Donald Trump and Prime Minister Narendra Modi, saying that true friends are able to disagree but always work things out in the end.

The biggest country in the world is India. At a ceremony attended by US embassy staff, he said, “It’s not an easy task to get this across the finish line, but we are determined to get there.” The two nations would continue to collaborate closely in crucial sectors including security, counterterrorism, energy, technology, education, and health, he said, even if commerce plays a significant role in the bilateral relationship. Gor said, “I can attest that President Trump’s friendship with Prime Minister Modi is real because I have traveled all over the world with him.” In a further move to deepen strategic relations between the two nations, the US envoy also said that India would get an invitation to become a full member of the Pax Silica alliance next month.