Tue Feb 04 04:34:04 UTC 2025: ## Indian Markets Rebound After US Delays Tariffs, Rupee Hits Record Low
**Mumbai, India** – Indian stock markets rebounded sharply on Tuesday, snapping a two-day losing streak, following a US decision to temporarily delay tariff hikes on Canada and Mexico. The BSE Sensex gained 443 points (0.58%) to close at 77,630.71, while the Nifty 50 index rose 130.25 points (0.56%) to 23,491.30.
This positive movement comes after a global sell-off on Monday, triggered by US President Donald Trump’s imposition of tariffs on Canada, Mexico, and China. The delay of the 25% tariffs on Mexico and Canada, announced late Monday, and the initiation of negotiations eased market anxieties. Market experts viewed this as a sign of a potential shift in Trump’s strategy.
Despite the market recovery, the Indian Rupee weakened, hitting a record low of 86.98 against the US dollar in early trading. The earlier imposition of tariffs contributed to Monday’s record low, pushing the Rupee beyond Rs 87 per US dollar for the first time.
While the overall market showed strength, sector performance varied. The Nifty Metal sector performed best, while Nifty FMCG lagged. Individual stock performance was mixed, with Power Grid Corporation, ITC, Hindustan Unilever, and Asian Paints weighing on the Nifty 50, while Infosys, ICICI Bank, Mahindra and Mahindra, and L&T boosted the index.
Foreign institutional investors (FIIs) continued their selling spree for the 23rd consecutive session, offloading equities worth Rs 3,958 crore on February 3rd. Domestic institutional investors (DIIs), however, bought equities worth Rs 2,708 crore on the same day. The INDIAVIX volatility index also rose 1.83% to 14.3525, indicating continued market uncertainty.
First Piper 