Awash in red

Markets are on a crash course but have ridden out such storms earlier too, so investors need to be patient

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AMIR ARORA, FOUNDER of Helios Capital Management, was bang on when he said on Thursday — a day after Trump's reciprocal tariff bombshell on April 2 — that the day's "market behaviour is a bit suspicious, not to be trusted". His response had come in the backdrop of a modest fall in the benchmark indices on that day, leading many to say it signalled that India was in a relatively better position than other nations as far as the tariff blow is concerned.

The fond hopes proved short-lived, with Indian market indices witnessing a blood-bath on Monday, with the Nifty now down 17% from its peak and is less than 1,000 points away from officially entering the bear market territory. Both benchmarks posted their worst single-day decline since June 4, 2024. Volatility hit the roof, as NSE's India VIX index jumped a record 65.63% to close at 22.79 — the highest closing since June 4, 2024.