Market Holds Nerves on Bets Trump Will Retreat on Tariffs

The Nifty 50 closed above its crucial support zone of 24,500-24,600 points

- Srushti Vaidya

A surprise 25% tariff imposed by the US on Indian exports, coupled with threats of penalties for buying Russian oil, rattled equity market investors early in the session on Thursday. However, strong buying helped the market stabilize, reflecting cautious optimism over tariff easing—a potential policy change that analysts call a "Taco trade", shorthand for "Trump always chickens out".

The benchmark Nifty 50 opened 200 points lower and then recovered, but eventually ended the session 86 points lower at 24,768.35. The day, the last Thursday of the month, also marked the expiration of the July derivatives series, leading traders to roll over positions amid the ongoing uncertainty.