FX.co ★ Sensex Falls to Over 2-Month Low

On Monday, India's BSE Sensex concluded trading at 83,246, marking a decline of approximately 0.4% and reaching its lowest point since November 7. This downturn was attributed to renewed trade tensions, lackluster earnings reports from major corporations, and ongoing foreign capital withdrawals. The global markets experienced volatility following President Trump's announcement of impending tariffs on eight European Union countries set to begin on February 1, related to the Greenland disagreement. Notably, Reliance Industries and ICICI Bank were significant contributors to the decline, with their shares falling by 3.1% and 2.4%, respectively, after both reported earnings that fell short of expectations for the December quarter. The technology sector also experienced mild losses, driven by concerns over global demand and cautious guidance during the earnings period. Despite the broader market's challenges, FMCG and other defensive sectors demonstrated some resilience, mitigating wider losses. Meanwhile, Indigo, India's leading airline, stood out as the top performer, climbing nearly 4%. This was after Jefferies minimized the impact of a $2.45 million fine for mass flight cancellations in December, adjusting its price target to INR 6140 and maintaining a "Buy" recommendation. Tech Mahindra also performed well, gaining 2.4% as a result of revenue figures that exceeded expectations.