India’s stock market saw gains on July 3, 2025, as the Nifty 50 rose 0.4% to 25,555.20 points and the BSE Sensex climbed 0.41% to 83,752.36 by mid-morning. Investor optimism was fueled by ongoing trade negotiations between India and the United States, spurred by a recent US-Vietnam trade deal that reduced tariffs on Vietnamese goods to 20%. The anticipation of a similar tariff-reducing agreement with the US, ahead of a July 9 deadline, lifted market sentiment.
The MSCI Asia ex-Japan index gained 0.25%, reflecting broader regional optimism. However, not all stocks advanced, with Nykaa dropping 4.3% after the Banga family announced plans to sell a 2% stake at a 5.5% discount. Posts on X noted cautious optimism among investors, with some highlighting the potential for India’s IT and pharmaceutical sectors to benefit from a trade deal, though these sentiments remain unverified.
The market’s upward movement follows a volatile period, with the Nifty and Sensex having gained 3.1% and 2.7% in June, despite global trade uncertainties. Investors are closely watching the US trade talks, as unresolved issues, particularly around agricultural market access, could influence future market trends.
Published in SouthAsianDesk, July 3rd, 2025
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