GIFT Nifty Surges 307 Points Ahead of April 8 Session, Signals Strong Rebound in Indian Stock Market
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After a brutal sell-off triggered by U.S. President Donald Trump’s reciprocal tariffs, Indian equity markets are poised for a relief rally, thanks to a 307-point surge in GIFT Nifty, recorded around 7:30 AM IST on April 8. The positive momentum comes amid improved global sentiment and some technical bounce-back after Friday’s massive correction.
What Happened on Friday (April 4)?
- Sensex tumbled 773.35 points (–1.01%) to close at 75,522.01
- Nifty 50 dropped 282.15 points (–1.21%) to settle at 22,967.95
- Massive wealth erosion of ₹8.5 lakh crore
- All sectors were in the red: IT, Metals, and Pharma bore the brunt
- Midcap and smallcap indices dropped more than 3%
The sell-off was attributed to rising recession fears after Trump’s tariff announcement, which hit global equity sentiment and pulled Indian markets sharply lower.
GIFT Nifty Today: Green Shoots on the Horizon
As of 7:30 AM IST on Tuesday, April 8, GIFT Nifty was trading 307 points higher, indicating a strong gap-up opening for the benchmark indices Nifty 50 and Sensex.
What is GIFT Nifty?
Formerly SGX Nifty, GIFT Nifty serves as an early indicator of how the Indian stock market might open, trading on the NSE International Exchange in Gujarat’s GIFT City.
Global Cues Improve
- Wall Street ended mixed, showing signs of stabilisation post-selloff
- US 10-year yield remains around 4.01%, calming inflation fears
- Asian indices, including Nikkei and Kospi, showed marginal recovery
- Crude oil prices dipped slightly, aiding India’s import-heavy economy
Investors are watching closely for signs that Trump’s tariff shock has been absorbed by global markets, and GIFT Nifty’s rebound hints at optimism returning.
Market Outlook for April 8, 2025
Nifty 50 Technical View
- Previous Close: 22,967.95
- Support Zone: 23,000–22,850
- Resistance Zone: 23,350–23,500
- Trend: Neutral to Bullish
According to HDFC Securities, if Nifty can reclaim 23,350 and sustain above it for 30–45 minutes, we might see a move toward 23,650 in the near term.
Sensex Technical View
- Previous Close: 75,522.01
- Support: 75,100
- Resistance: 76,200
Sectoral View
IT Stocks
Hammered by NASDAQ’s tech sell-off on Friday, Infosys, TCS, Coforge, and Persistent Systems might stage a mild technical pullback today.
Pharma Sector
Cipla, Sun Pharma, and Dr. Reddy’s were under pressure on Friday after Trump hinted at pharma-specific tariffs. However, oversold conditions could lead to a small bounce today.
Metals
Stocks like Tata Steel, Hindalco, and JSW Steel may continue to face volatility due to global demand concerns. Avoid fresh entries until clarity emerges.
Banks & Financials
Resilience expected from frontline private sector banks like HDFC Bank and ICICI Bank. NBFCs may also remain stable due to improving bond yields.
Broader Markets: Time to Be Cautious
Despite today’s expected recovery, Nifty Midcap 100 and Smallcap 100, which fell over 3% on April 4, may not immediately bounce back. Risk-averse investors should wait for confirmation.
What Should Traders Do Today?
Intraday Strategy:
- Buy on dips, with tight stop-loss near support zones
- Focus on large-cap quality stocks in IT, FMCG, and private banks
- Avoid aggressive calls in Metals and Pharma until direction is clear
Positional Investors:
- Stick to SIP mode or staggered buying
- Watch for confirmation above 23,350 on Nifty before deploying fresh capital
Expert Commentary
🔹 Dhupesh Dhameja, Derivatives Analyst at SAMCO Securities
“GIFT Nifty’s sharp spike shows we may get a relief rally today, but caution is advised. Unless Nifty crosses 23,350 and sustains, it could just be a dead cat bounce.”
🔹 Nagaraj Shetti, HDFC Securities
“Friday’s drop was expected post tariff panic. If bulls manage to reclaim 23,350, momentum will return fast. Otherwise, sideways action is likely.”
Markets may see a technical rebound today, led by a 307-point jump in GIFT Nifty, but traders should not forget the macro overhang of trade tensions. Use the bounce to lighten weak positions and look for entry in strong fundamentals with proper stop-losses.
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