Indian equity markets opened on a subdued note with the Sensex crashing close to 400 points and the Nifty bleeding nearly 100 points as of 9:15 AM on Wednesday. According to latest market reports, IT and PSU bank stocks dragged the indices lower, reflecting broader market sentiment amid ongoing policy uncertainties. GIFT Nifty was trading at 24,102, down 79 points, indicating a soft start for Indian benchmark indices. This follows Tuesday's decline where markets had ended lower due to Trump's tariff policy announcements and their potential impact on Indian markets, with crude oil prices moving higher and geopolitical tensions in West Asia adding to investor concerns.
US President Donald Trump announced a significant policy shift regarding pharmaceutical imports, stating that 'all Generic Drugs being brought into the United States will continue to have a TARIFF of ZERO PERCENT for a two year period of time, after which the TARIFF will be raised to 100% for a one year period of time, and 200% thereafter.' According to reports from The Hindu BusinessLine, this policy aims to 'RESHORING Generic Pharmaceutical Production into America' with penalties for companies not building manufacturing facilities within the specified timeframe. The policy announcement has created uncertainty in global markets, with the Nifty Pharma falling nearly 2% as markets opened to the possibility of more tariffs ahead on generic drugs imported to the US. Sun Pharma, one of the biggest Indian players in the American market, crashed over 1% amid investor panic over the potential impact on pharmaceutical exports. Aurobindo Pharma, Ajanta Pharma, Lupin, Gland Pharma and Zydus Lifesciences were among the top losers on the Nifty Pharma index, reflecting widespread concern across the pharmaceutical sector.
Asian markets traded firmly higher on Wednesday, taking cues from a strong overnight performance on Wall Street after better-than-expected earnings from major semiconductor companies boosted risk appetite. Japan's Nikkei 225 advanced 1.93% and South Korea's Kospi surged 6.01% in early trade. US equities also ended higher overnight, with the Dow Jones Industrial Average gaining 0.74%, the S&P 500 rising 0.89%, and the Nasdaq Composite climbing 1.29%. However, crude oil prices moved higher on Wednesday morning after renewed geopolitical tensions in West Asia, with investor concerns intensifying after US President Donald Trump played down the possibility of negotiations with Iran, while Washington continued military strikes on Iranian targets. Precious metals also witnessed fresh buying amid heightened geopolitical uncertainty, with gold futures trading 1.21% higher and silver futures gaining 1.9% as investors sought safe-haven assets.
Corporate earnings will remain one of the key drivers for markets during the session, with several companies scheduled to announce their June quarter (Q1 FY27) results. Among the prominent companies reporting earnings today are Adani Green Energy, Adani Power, Bharat Petroleum Corporation (BPCL), Dr Reddy's Laboratories, Hindustan Petroleum Corporation (HPCL), IndusInd Bank, JSW Energy, Nestlé India, Tata Communications, UCO Bank, United Spirits and UTI Asset Management Company. Investors are expected to closely monitor these earnings for management commentary on demand trends, margins and the outlook for the remainder of FY27. Additionally, Maruti Suzuki India Ltd has announced a fresh price hike of up to ₹30,000 across its vehicle portfolio, citing persistent inflationary pressures and a challenging cost environment, with the revised prices coming into effect from August 2026.
CuraTeQ Biologics Pvt Limited, a wholly owned subsidiary of Aurobindo Pharma Limited, has received approval from ANVISA (Agência Nacional de Vigilância Sanitária) for its biosimilars manufacturing facility in Hyderabad. As reported by The Hindu BusinessLine, the facility underwent a GMP inspection from May 11 to May 15, 2026, covering four biosimilar products and assessing manufacturing facilities for biological API and sterile products. Zen Technologies Limited has secured an order worth ₹177.5 crores (including GST) for upgradation and integration of Tank and Crew Gunnery Simulators from the Ministry of Defence, Government of India. Market participants are also expected to track quarterly earnings announcements, commodity prices and institutional fund flows during the session, with investor sentiment remaining restrained as higher crude oil prices and geopolitical uncertainty overshadowed positive global market cues.
Purple Finance Ltd has granted in-principle approval for the proposed acquisition of a 100% equity stake in Saksham Gram Credit Private Limited, marking a strategic move to expand retail lending footprint. According to The Hindu BusinessLine, Anupam Rasayan India Ltd has launched an open offer to acquire 2,77,26,848 fully paid-up equity shares representing 26% of Bliss GVS Pharma Ltd at ₹299 per share. Additionally, PC Jeweller has successfully cleared and repaid all outstanding debt under the Settlement Agreement dated September 30, 2024, with respect to one more bank, bringing the total cleared debt to 5 out of 14 consortium banks.
