Indian Stock Market Closure for Maharashtra Day Amid Global Economic Frictions

The Indian stock markets are closed for Maharashtra Day, with trading paused on both BSE and NSE. Global economic tensions and rising geopolitical risks impact market sentiments, while global trade data reflects challenges, with US trade gaps widening and Chinese manufacturing contracting.

The Indian stock markets will not operate on Thursday, May 1, in observance of Maharashtra Day, prompting a pause in trading activity at the Bombay Stock Exchange (BSE) and the National Stock Exchange (NSE).

Amid global economic currents, Japan's Nikkei started positively with a 0.4 percent gain, trading at 36,190 early on. On the domestic front, Indian equity indices witnessed a slight decline in volatile trading on April 30. The BSE Sensex dropped 46.14 points, equivalent to 0.06 percent, concluding at 80,242.24, while the NSE Nifty fell by 1.75 points or 0.01 percent, ending at 24,334.20.

Ajay Bagga, a Banking and Market Expert, notes that stable Foreign Portfolio Investment (FPI) and domestic inflows are sustaining the market. However, geopolitical tensions are elevating risks, particularly given concerns about military action by India against Pakistan, following statements from Pakistani officials warning of imminent Indian aggression.

Among sectoral performances on the NSE, indices such as Nifty Media and Nifty PSU Bank faced corrections exceeding 2 percent, while Nifty Auto achieved minor gains, and Nifty Pharma rose by 0.44 percent. On the international front, concerns regarding the Trump administration's tariff policies weigh heavily. Data indicates a wide US trade gap amid import surges prior to April tariffs, with anticipated GDP figures potentially revealing stalemates. Concurrently, Chinese manufacturing and export activities have dipped into contraction, as evidenced by preliminary April data.

(With inputs from agencies.)