Stock market today: Indian stock market rebounded in Wednesday’s trading session, June 4, ending its three-day slide as the rally was largely led by select heavyweights including HDFC Bank, Reliance Industries, Bharti Airtel, and Infosys.
The Nifty 50 concluded the session with a gain of 70 points, or 0.3%, to settle at the 24,612 level, while the Sensex closed with a gain of 280 points, or 0.35%, at 81,025. The broader markets outperformed the benchmark indices, with the Nifty Midcap 100 and Nifty Smallcap 100 ending the session up 0.70% and 0.80%, respectively.
Today’s comeback gave a much-needed boost to Indian equities, which had been under pressure in recent sessions amid investor concerns over global growth, resurfacing trade tensions between the US and China, and the fiscal outlook of the US economy, which analysts expect to worsen if Trump’s proposed tax bill gets passed.
While investors closely monitored global developments, including the ongoing US–China trade talks and rising trade tensions between the EU and the US, attention also shifted to the upcoming RBI monetary policy meeting. The Street largely expects the central bank to cut the repo rate by 50 basis points on June 6, as inflation touch 6-year low in April, along with potential rate cuts by the US Federal Reserve during its June 17–18 meeting.
Additionally, the ongoing trade talks between India and the US are expected to conclude soon, as US Commerce Secretary Howard Lutnick expressed optimism about finalizing a trade deal with India before the July 9, 2025, deadline, when a 90-day pause on reciprocal tariffs expires.
Meanwhile, India has raised concerns regarding US tariffs on auto parts at the World Trade Organization (WTO). This action is seen as a response to previous tariff hikes imposed by the US, impacting trade relations in the auto sector.
On the global front, the OECD has slashed its US growth forecast to 1.6%, citing Trump-era tariffs, policy uncertainty, and global headwinds. It projects global GDP to slow to 2.9% in both 2025 and 2026, with trade barriers and weak business confidence flagged as key risks.
Meanwhile, US President Donald Trump has signed an order on Tuesday doubling tariffs on steel and aluminum imports from 25% to 50%, which was announced earlier. However, analysts expect this move to have only a minimal impact on India, as the country’s exports of these two base metals are relatively small compared to other nations. The Trump administration, meanwhile, expects countries to submit their best offers in trade negotiations today.
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