Stock Market Today: Global Market Downturn Impacts Indian Indices

The domestic benchmark indices, Nifty 50 and Sensex, faced selling pressure on Thursday following a global downturn triggered by US President Donald Trump's latest tariff announcement. Investors reacted negatively, resulting in a significant decline in key indices. The Sensex dropped by over 800 points, starting at 75,811.12, reflecting a 1.05 percent decrease. Similarly, the Nifty 50 index decreased by 182.05 points, opening at 23,150.30, down by 0.78 percent.

Market analysts noted that stocks are being affected by Trump's announcement of a reciprocal tariff. Investors are reallocating their funds to safer assets like gold, intensifying the sell-off in equity markets. Vikram Kasat, Head of Advisory at PL Capital - Prabhudas Lilladher, stated that the tariffs announced by Trump were more severe than the market had anticipated in its worst-case outlook. Significant tariff impacts pose a risk of recession for both the US and the global economy. If these measures continue, they are likely to drive both the US and global economies into recession this year.

Nifty 50 outlook by Osho Krishan, Sr. Analyst, Technical & Derivatives, Angel One Following Tuesday's sell-off, Nifty 50 has staged a notable recovery ahead of the key Trump tariff announcement. In our previous outlook, we highlighted the significance of the 23,100 level, a confluence of technical supports, including the 20-DMA, 50-DMA, and the 38.2% retracement of the recent rally. This remains a crucial support zone, and the market's reaction post the tariff announcement will be pivotal. A sustained follow-up buying in the coming session could reinforce bullish momentum, potentially driving Nifty 50 higher towards 23,600 and 23,800 in the near term. Conversely, a break below 23,100 might trigger weakness, with the next support near 22,900. Given the weekly expiry, traders should closely monitor global cues and the key levels mentioned to formulate their strategies.

Stocks to buy on Thursday - Osho Krishan On stocks to buy on Thursday, Osho Krishan of Angel One recommended two stocks - ICICI Lombard General Insurance Company Ltd, and Hindustan Zinc Ltd. ICICI Lombard ICICI Lombard share price has shown impressive growth, climbing nearly 200 points in the last few trading weeks. This surge has been accompanied by an increase in average trading volumes, which suggests that market interest is building and points to the possibility of a reversal in its trend. Also, the stock has not only surpassed significant short-term EMAs but has also established a breakout from its recent consolidation phase. Additionally, the 14-period RSI has risen above its previous swing high, reinforcing the bullish momentum surrounding the stock. Overall, these technical indicators suggest that ICICI Lombard share price may be entering a period of sustained growth, making it an intriguing option for those looking to invest.

Hence, we recommend to buy ICICI Lombard shares around ₹1,820-1,810 keeping a stop loss of ₹1,755 for a potential target of ₹1,920. Hindustan Zinc Hindustan Zinc share price has faced significant challenges and a downward trend over the past few months in the trading market. However, a notable shift has occurred recently as the stock has formed a distinct 'inverted head & shoulders' pattern on its daily time frame chart, indicating a potential reversal in its fortunes. This bullish pattern is accompanied by a remarkable surge, as the stock price has climbed above the critical resistance levels represented by the 20-DMA, 50-DMA, and 100-DMA. This upward movement is further supported by an increase in trading volumes, signaling heightened investor interest and confidence in the stock's future performance. In addition, an examination of weekly indicators suggests a potential counter-trend, reinforcing the notion that Hindustan Zinc share price may soon enter a phase of recovery.

Hence, we recommend to buy Hindustan Zinc shares around ₹450 keeping a stop loss of ₹430 for a potential target of ₹490. Disclaimer: The views and recommendations above are those of individual analysts, experts and broking companies, not of Mint. We advise investors to check with certified experts before making any investment decision.