Global trade uncertainty and FII sell-off trigger market volatility

The Indian stock market appears poised to enter yet another phase of volatility.

- Vimal Kothari

The deadline for the tariffs announced by U.S. President Donald Trump is set to expire on July 9. The Trump administration has reportedly signed tariff-related letters concerning 12 countries, but the names of these countries will only be disclosed on Monday.

Naturally, the economies of the nations named in the list are expected to feel the impact, which in turn will influence global stock markets.

So far, neither the European Union nor India has been mentioned in relation to these tariff measures. This could suggest that trade agreements between the U.S. and India are still pending. In this scenario, technical analysts believe the current market situation lacks clarity and signals a period of fluctuations. However, long-term investors need not worry about this volatility. In fact, if the market dips, it may provide an opportunity to invest in fundamentally strong stocks.