Market Developments in the Past 24 Hours
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- Last Updated: 13 Jan 2026 at 10:23 AM IST
The Indian stock market is under pressure. The equity benchmarks fell for the fourth straight session on Thursday, January 8, 2026. The Nifty 50 closed below 25,900, while the Sensex saw a dip of 1%, that is, 780 points, on weak sentiment. Declines were broad-based, with 15 of the 16 major sectors ending lower. However, this is just the headline news; the key concern is what happened in the market over the last 24 hours.
Key Events from the Market in the Last 24 Hours
While traders were preparing for their next trades on the bourses, global events were taking control of the market.
Tariff Worries
The United States has escalated trade pressure on India with a proposed Russia Sanctions Act of 2025 that would empower the US President to impose tariffs of up to 500% on countries importing Russian energy products, including crude oil. In response to the Washington warning, foreign investors sold ₹15.28 billion ($170 million) of Indian shares on Wednesday.
After this sell-off, total equity outflows in January have reached $694 million, adding pressure on domestic markets.
Crude Prices Rebound
Global energy markets saw crude oil prices rebound on January 8 after two days of losses, supported by a larger-than-expected draw in US crude inventories and mounting supply-disruption concerns. Brent crude climbed to around $60.34 a barrel, while US West Texas Intermediate (WTI) crude rose near $56.36 during the session.
Traders reacted to data showing US crude stocks dropped by roughly 3.8 million barrels, a bullish surprise that countered oversupply fears. The geopolitical uncertainty, particularly around Venezuelan oil flows and tensions in the Middle East, added risk premiums.
Policy Shift
The Indian finance ministry is preparing to scrap five-year-old restrictions that have barred Chinese companies from bidding on government contracts since 2020. The curbs required firms from China and neighbouring countries to seek security and political clearances, effectively excluding them from government tenders worth an estimated $700–$750 billion.
Officials say removing the registration requirement aims to ease project delays and supply shortages faced by several ministries. The proposal, seen as a cautious reset in economic engagement amid reduced border tensions with China, now awaits final approval from Prime Minister Narendra Modi’s office.
Gold Surge
On January 8, gold surpassed US Treasuries to become the largest foreign reserve asset in the world.
With central banks' continued interest in gold and bullion prices soaring, their holdings are now worth nearly $4 trillion, surpassing about $3.9 trillion in US Treasury holdings for the first time since 1996.
The numbers highlight a change in how central banks are managing their reserves. With geopolitical tensions and worries about US fiscal policy, gold’s safe-haven appeal is growing as they move away from dollar-denominated debt. Soaring gold prices above $4,500 per ounce have only supported his trend.
Major Cryptocurrencies Weakened
Major cryptocurrencies weakened on January 8 as risk-off sentiment deepened amid profit-taking and institutional outflows.
Bitcoin dipped below the crucial $90,250–$91,000 support level, pulling back from its early-week highs. Ethereum dropped more than 4%, and other major cryptocurrencies like XRP and BNB also faced declines.
The total crypto market cap dipped toward $3.1 trillion as ETF outflows and cautious positioning ahead of US jobs data weighed on prices.
Market Narrative Over 24 Hours
In the last 24 hours, Indian markets deteriorated against the backdrop of multiple events. Benchmark indices have extended a multi-day slide, led by tariff fears, foreign outflows, and broad sector weakness. Global markets echoed risk-off behaviour, with European equities declining and Asian bourses trading lower amid geopolitical tensions and macroeconomic uncertainty.
The dollar firmed up ahead of US jobs data, while commodity prices found stability after earlier fluctuations. Overall, risk sentiment is shaky, with policy moves, tariff news, and US economic reports set to steer the market next.
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