NEW YORK, 10 OCT 2025
A calm Friday on Wall Street was shattered by renewed trade war fears, sending stocks into their steepest dive since April. The sell-off was triggered by President Donald Trump’s threat of a “massive increase of tariffs” on China, a move that has investors on edge globally. Now, with the GIFT Nifty also closing in the red, a sense of unease is rippling through India’s Dalal Street as it braces for Monday’s opening bell.
The downturn in the US was swift and severe. After Trump’s comments, which came in response to China’s new export controls on essential rare earth minerals, the S&P 500 plunged 2.7%. The Dow Jones Industrial Average fell by 878 points, and the tech-heavy Nasdaq Composite took the biggest hit, dropping 3.6%. Tech giants like Apple and Nvidia, which are heavily reliant on Chinese manufacturing and consumer markets, were among the worst performers.
This sudden return to volatility wasn’t just a Wall Street event; it was a global shockwave. And for investors in India, the signs are worrying.
The primary concern for Dalal Street is the potential for a major negative opening on Monday. The GIFT Nifty, an early indicator of the direction of the Indian market, closed lower on Friday at 25,249.00, signaling that the bearish sentiment from global markets is already spilling over. Investors in India are now anxiously anticipating a gap-down opening, a scenario where the market opens significantly lower than its previous close, reflecting the overnight turmoil.
The primary concern for Dalal Street is the potential for a major negative opening on Monday. The GIFT Nifty, an early indicator of the direction of the Indian market, closed lower on Friday at 25,249.00, signaling that the bearish sentiment from global markets is already spilling over. Investors in India are now anxiously anticipating a gap-down opening, a scenario where the market opens significantly lower than its previous close, reflecting the overnight turmoil.
While the domestic market has shown resilience recently, a global trade war is a powerful headwind that’s difficult to ignore. The key question on every investor’s mind on Dalal Street is whether this is a short-term, knee-jerk reaction or the beginning of a more sustained downturn. As the weekend offers a brief pause, all eyes will be on the opening quotes come Monday morning, with many preparing for a turbulent start to the week.
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