FX.co ★ Sensex Falls for 2nd Day

India's BSE Sensex closed approximately 0.2% lower at 80,544 on Wednesday, marking its second consecutive day of decline. This downward trend was influenced by a drop in rate-sensitive and U.S.-dependent stocks. The slide came after the Reserve Bank of India (RBI) opted to keep interest rates steady and maintain a 'neutral' policy stance, falling short of investor expectations for a more accommodative approach amid the current global trade uncertainties. Concurrently, President Trump announced on Tuesday that he would "very substantially" increase the existing 25% tariff on Indian exports to the U.S. within 24 hours, citing India's high trade barriers and its continued purchases of Russian oil. He further mentioned that anticipated tariffs on pharmaceuticals could escalate to as much as 250%. In terms of sector performance, the IT and pharmaceutical sectors experienced declines of 1.7% and 2%, respectively. Notable laggards included Sun Pharma, Tech Mahindra, Infosys, HCL Tech, and Bajaj Finance, with losses ranging from 1.6% to 2.4%. Conversely, Asian Paints, Mahindra & Mahindra, Bharat Electronics, Adani Ports, and State Bank of India emerged as the top gainers, with increases between 0.5% and 2.2%.