Bloodbath on Dalal Street: Experts suggest what investors should do

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Bloodbath on Dalal Street: Experts suggest what investors should do


Stock Market Crash: India, despite the ongoing trade negotiations with the US, has not been spared. A 26 per cent tariff has been imposed on Indian exports.

The United States has initiated one of the most significant tariff actions in recent history, imposing a set of reciprocal tariffs on imports from key trading partners. This led to a bloodbath on Dalal Street today, with both the Indian benchmark indices falling around 5 per cent in the opening trade. 

The 30-share BSE benchmark Sensex crashed 3,939.68 points or 5.22 per cent to 71,425.01 in early trade. The NSE Nifty tumbled 1,160.8 points or 5.06 per cent to 21,743.65.

During the afternoon trade, the BSE benchmark quoted 3,205.31 points or 4.25 per cent lower at 72,159.38, and the Nifty traded with a cut of 1,038.95 points or 4.54 per cent at 21,865.50.

What Should Investors Do?

According to Pranay Aggarwal – Director & CEO of Stoxkart, investors and traders must stay calm and avoid panic selling, continue SIPs, and consider buying quality stocks at discounted prices. 

“Review portfolios and maintain diversification. Traders must prioritise capital preservation, stick to their trading plans, and avoid overtrading. Volatility brings opportunity, but only with strong risk management. Use proper stop-losses and position sizing. Monitor global cues like the US markets and crude. Remember, “This too shall pass.” Focus on process over profit, and don’t hesitate to lean on trusted communities or analysts for clarity during uncertain times. Stay disciplined and strategic,” Aggarwal said.

India, despite the ongoing trade negotiations with the US, has not been spared. A 26 per cent tariff has been imposed on Indian exports. However, this rate is relatively lower than those applied to several other major economies, especially other Asian nations that are competitors to India.

Jaspreet Singh Arora, CIO, Equentis Wealth Advisory Serviced Ltd, also said that panic-selling now would be a mistake. 

“India’s domestic-driven economy remains a structural growth story, with strong corporate earnings and policy support. A market rebound is likely in two to three quarters once the tariff uncertainty settles and the U.S. rate cycle stabilizes. For long-term investors, it’s time to stay disciplined. Focus on asset allocation and avoid impulsive moves. For short-term traders, elevated volatility calls for caution. Stick to strict stop-losses and avoid overleveraging,” Arora said.

According to experts, investors must keep an eye on earnings, global cues, and institutional flows in the coming weeks. They are of the view that quality stocks will remain resilient and dips can offer opportunities, but only for those with clear risk management strategies.



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