Sensex, Nifty set to open lower amid Trump’s fresh tariffs on China; Lupin, Infosys shares in focus

The Indian benchmark indices are set to open on a sluggish note, following US President Donald Trump’s announcement of an additional 100% tariff on imports from China. The additional tariffs were a result of China tightening its rare earth restrictions, with Trump also announcing that the US will impose export controls on all critical software from November 1. 

In a post on Truth Social, Trump said, “Based on the fact that China has taken this unprecedented position, and speaking only for the U.S.A., and not other Nations who were similarly threatened, starting November 1st, 2025 (or sooner, depending on any further actions or changes taken by China), the United States of America will impose a Tariff of 100% on China, over and above any Tariff that they are currently paying.”

China responded to the new tariff threats with a statement from its Commerce Ministry, saying, “China’s stance is consistent. We do not want a tariff war, but we are not afraid of one.” It also urged the US to resolve differences through negotiations instead of threats.

Later, Trump took to his social media platform and said that he does not want to hurt China, but rather help it, adding that Chinese President Xi Jinping “doesn’t want depression for his country”. 

Reacting to the news on Friday, US markets slumped, with the S&P 500 declining 182.60 points, or 2.71%, and the Nasdaq Composite closed 820.20 points, or 3.56%. The Dow Jones Industrial Average declined 878.82 points, or 1.90%. 

On Monday, the Asian markets opened in the negative zone, Hong Kong’s Hang Seng dipping sharply by 1.78%, Singapore’s Straits Times and South Korea’s KOSPI fell by 1%. Shanghai Composite also declined 0.82%, while Japan’s Nikkei 225 was closed today on the account of a holiday. 

At 8:15 am, the GIFT Nifty futures index had declined 98.50 points or 0.39%, indicating a gap-down start for the Sensex and the Nifty on Monday. On Friday, October 10, the Sensex gained 328.72 points, or 0.40%, to close at 82,500.82, while the Nifty50 added 103.55 points, or 0.41%, to 25,285.35.

Stocks in focus:

Lupin: The US Food and Drug Administration (US FDA) conducted a pre-approval inspection, which took place from September 29 to October 10 at the company's manufacturing facility in Somerset, New Jersey, and concluded with one observation.

Infosys: The IT company announced a comprehensive suite of solutions—the Infosys Customer Experience Suite for Salesforce—to deliver advanced Agentforce solutions and support enterprises in their digital transformation initiatives.

Hindustan Construction Company: The company has secured a ₹204-crore contract, as part of the Aditya Aluminium smelter expansion project in Odisha, from Hindalco Industries for the fabrication, supply, and erection of pot shells and superstructures.

Travel Food Services: TFS Gurgaon Airport Services has entered into a licence agreement with Delhi International Airport for setting up, operating, managing, and maintaining food & beverage (F&B) outlets at Terminal 2 of Indira Gandhi International Airport.

NTPC Green Energy: The company has signed an MoU with Japan’s ENEOS Corporation to supply green methanol and green hydrogen derivative products to ENEOS.

Axis Bank: The Reserve Bank of India has issued a “Letter of Caution”, advising the bank to exercise extreme caution and diligence to avoid instances and to ensure strict compliance with RBI instructions on KYC norms. The bank has already initiated/taken corrective measures, as necessary, to align the operations/procedures in line with the stipulations of the same.