Indian financial markets will remain closed on April 10, 2025, in observance of Mahavir Jayanti, a national holiday commemorating the birth anniversary of Lord Mahavira, the revered 24th Tirthankara in Jainism. As investors take a breather, markets across Asia are reacting to a whirlwind of global developments—from the Reserve Bank of India’s latest interest rate cut to a dramatic policy reversal on tariffs by U.S. President Donald Trump. With volatility spiking across asset classes, this holiday offers traders a timely pause amid mounting uncertainty over inflation, monetary easing, and global trade.

Full Market Closure Across Indian Bourses

On April 10, trading will be suspended across all segments of the Bombay Stock Exchange (BSE) and National Stock Exchange (NSE). The closure affects:

• Equity markets
• Equity derivatives
• Securities lending and borrowing (SLB)
• Currency derivatives
• NDS-RST and Tri Party Repo platforms
• Commodity derivatives at MCX and NCDEX

This blanket holiday allows market participants to recalibrate strategies amid a flurry of macroeconomic signals at home and abroad.

Asia-Pacific Equities Soar on U.S. Market Tailwinds

Investors across Asia welcomed Thursday’s trading session with renewed optimism, following a relief rally on Wall Street. Regional indices posted robust gains ahead of the impending implementation of new Chinese tariffs on U.S. goods. Here's how key Asia-Pacific indices performed:

These gains reflect market relief after days of uncertainty surrounding U.S. tariff policy and its impact on global trade flows.

Domestic Markets Slip as RBI Cuts Key Rates

Back home, Indian equities ended lower on April 9 as the Reserve Bank of India’s Monetary Policy Committee surprised markets by cutting the repo rate by 25 basis points, reducing it from 6.25% to 6.00%. The decision, while aimed at stimulating economic activity, coincided with global trade jitters—amplified by the looming U.S. tariffs.

The dual headwinds of monetary easing and trade volatility prompted risk-off sentiment, particularly in rate-sensitive sectors such as banking and real estate.

Trump's Strategic Pause: Tariffs on Hold, For Now

After days of firm rhetoric promising sweeping “reciprocal” tariffs on dozens of nations, President Trump reversed course, temporarily freezing the most severe measures—though key exceptions remain. While the White House insists this was part of a pre-planned negotiation strategy, the abrupt shift follows severe market turmoil, with sharp corrections in equities and rising bond yields prompting widespread investor concern.

Treasury Secretary Scott Bessent claimed the maneuver brought over 75 countries to the negotiating table. Yet, analysts note that public and market backlash likely played a substantial role in softening the administration’s stance.

Investor Confidence Wavers Amid Policy Whiplash

President Trump’s policy U-turn highlights the administration's erratic trade diplomacy, which has frustrated allies and unnerved corporate leaders. The volatility has compounded the challenge for market participants trying to price long-term risk, especially as the U.S. continues to press forward with targeted tariffs on China.

Though the current 90-day reprieve temporarily cools tensions, a blanket 10% tariff on most U.S. imports remains intact. Sector-specific levies—such as those on steel, autos, and aluminum—also continue unchanged. Furthermore, the U.S. is maintaining a 25% fentanyl-related tariff on Canadian and Mexican imports not compliant with the USMCA trade agreement.

Rest for Indian Traders: A Holiday for Reflection Amid Market Crosswinds

While Indian markets pause to commemorate Mahavir Jayanti, global financial centers continue to grapple with a maze of monetary shifts and geopolitical recalibrations. Between the RBI’s dovish pivot and Trump’s mercurial tariff diplomacy, the landscape ahead appears anything but linear.

Investors may use this interlude to reassess allocations, hedge against volatility, and watch for the next move in what remains a highly fluid global macroeconomic chessboard. The return to trading post-holiday could bring sharp swings—underscoring the need for a strategy anchored in agility, discipline, and a keen eye on policy signals.