In-Depth Analysis: Global and Indian Stock Market Performance on February 10, 2025

Detailed Stock Market Report – Global & Indian Markets (Feb 10, 2025)

Today's trading session brought mixed signals across global markets while Indian equities faced significant downward pressure. Below is an in‐depth report covering key global developments as well as detailed analysis of Indian indices and sectors.

Global Markets Overview

Global indices reacted to renewed uncertainty following U.S. President Donald Trump's announcement of potential 25% tariffs on steel and aluminium imports. Despite these warnings, many investors appeared to shrug off the immediate impact, and U.S. stock futures recorded modest gains.

• U.S. Markets: Key ETFs are trading in a narrow range. For example:
  • SPDR S&P 500 ETF (SPY) is at $600.77
  • Invesco QQQ Trust (QQQ) stands at $522.92
  • SPDR Dow Jones Industrial Average ETF (DIA) is trading at $443.12
  These figures indicate that while the futures markets recovered somewhat from last week’s declines, the overall mood remains cautious.
• Asian and European Markets: In Asia, benchmarks such as Japan’s Nikkei 225 and Hong Kong’s Hang Seng maintained near-flat performances. European indices like the CAC 40, DAX, and FTSE 100 posted slight gains amid similar cautious sentiment.
• Market Sentiment: Analysts have noted that tariff announcements typically trigger short-term volatility. With upcoming economic data—including U.S. inflation reports and central bank testimonies (e.g., Fed Chair Powell’s upcoming congressional testimony)—the global market outlook remains uncertain.

Indian Markets Overview

Indian equity markets traded lower in a session marked by global trade tensions, persistent foreign outflows, and domestic economic uncertainty.

• BSE Sensex: The benchmark Sensex closed at 77,311.80, down by 548.39 points (0.70%). Intra-day, the index traded between roughly 77,850 and 77,100.
• NSE Nifty50: The Nifty50 ended the session at 23,381.60, a decline of 178.35 points (0.76%). Market breadth was negative, with a majority of the index’s stocks closing in red.
• Sectoral Performance:
  • Metals & Realty: These sectors were among the worst performers, affected by tariff fears and weakening global demand.
  • Healthcare: The Nifty Midsmall Healthcare Index fell by approximately 3.14%, reflecting investor caution amid a weak domestic demand scenario.
  • Foreign Investments & Currency: With continued FII outflows—estimated at nearly $9.9 billion year-to-date—the Indian rupee weakened, reaching an intraday low of 87.95 per USD.

Experts from Geojit Financial Services and others have warned that the combined impact of global tariff threats and persistent FII withdrawals could keep the market on a cautious footing. Technical indicators suggest that if bearish momentum continues, key support levels (around 23,350 for Nifty50) could be tested further.

Market Sentiment and Outlook

Both global and Indian markets are grappling with uncertainty. On the global front, increased U.S. Treasury yields and a firming dollar reflect investors’ flight to quality. In India, technical indicators like the India VIX have surged, underscoring heightened volatility.

With crucial data releases and central bank communications on the horizon—including U.S. inflation figures and Fed testimonies—market participants are advised to stay alert to further volatility.

Conclusion

Today’s session encapsulated a mix of resilience and caution. While U.S. futures and European markets showed limited gains, the uncertainty created by potential tariffs and foreign outflows weighed heavily on Indian equities. Investors should continue monitoring global trade developments, economic data releases, and central bank signals to navigate the turbulent market environment.

Disclaimer: This report is for informational purposes only and does not constitute investment advice. Please perform your own research or consult a professional advisor before making any investment decisions.