During a significant diplomatic moment, tensions that arose from the imposition of 50% tariffs by the United States on Indian goods seem to be easing. These tariffs previously strained Indo-US relations and jeopardized ongoing trade negotiations. However, recent communications between US President Donald Trump and Indian Prime Minister Narendra Modi suggest a thawing in relations. The two leaders engaged in positive exchanges through their social media platforms last week, signaling a potential reconnection.
Adding to this diplomatic optimism, Trump has announced his nominee for Ambassador to India, Sergio Gor. In remarks made to the Senate Foreign Relations Committee, Gor indicated that President Trump might visit India as early as November 2025. This announcement has invigorated trader sentiment, with analysts anticipating a positive opening for the Indian stock market on the upcoming Monday.
Market experts are optimistic about the ramifications of Trump’s prospective visit. Anshul Jain, Head of Research at Lakshmishree Investment, stated, “The potential for Trump’s upcoming trip, combined with the reaffirmation of the US’s commitment to the QUAD alliance, is expected to relieve concerns related to tariffs and contribute to a gap-up opening on Monday.” Such optimism suggests that traders might factor in a reduction in tariffs from Trump in the near future.
Complementing this perspective, Anuj Gupta, Director at Ya Wealth, expressed that various sectors—especially IT, automotive, pharmaceuticals, textiles, and defense—are poised for increased buying momentum as a result of these developments. He predicted that the market could see an elevation of around 100 to 120 points at the opening.
Looking at the broader indices, analysts are keenly observing the performance of the Nifty 50. Jain pointed out that current market dynamics indicate a bullish trend, especially with the index reclaiming quarterly and monthly volume-weighted average prices (VWAP), suggesting substantial upward momentum. “If foreign institutional investors (FIIs) maintain their buying trend on Monday, we could see Nifty 50 breaking past resistance levels around 25,300,” Gupta noted, stating a potential target of 25,800 if positive developments continue.
Moreover, the upcoming weeks hold the promise of significant market reactions hinging on various factors. Observers are waiting to see how potential progress in the India-US trade deal unfolds, alongside possible monetary policy changes from the US Federal Reserve. If the Fed surprises markets with a rate cut, this could further propel the Nifty 50 towards the 26,000 mark.
In anticipation of Trump’s visit and the resulting market momentum, approximately 20 stocks across various sectors have been highlighted as likely beneficiaries. These include:
- Pharma: Aurobindo Pharma, Cipla, Glenmark Pharmaceuticals
- Defence: BEL, HAL, Cochin Shipyard
- IT: Tech Mahindra, HCL Technologies, Wipro, Infosys
- Textiles: Trident, Welspun Living
- Automotive and Ancillaries: Eicher Motors, Tata Motors, TVS Motor, Bajaj Auto, JBM Auto, Bosch, Amara Raja Batteries, Exide Industries, UNO Minda
As optimism builds around Trump’s possible re-engagement with India, the landscape for stocks and broader economic relations appear set to enter a dynamic phase. However, investors are urged to consult with certified experts before making any financial decisions.
