Indian stock markets got a shot of adrenaline on Tuesday, September 16, 2025, after weeks of uncertainty. The benchmark Sensex surged almost 595 points in afternoon trade, while the Nifty continued its winning streak. Investors were clearly betting big on a positive outcome as India and the United States reopened crucial trade talks in New Delhi.
The diplomatic thaw arrives after a tense spell—negotiations on a Bilateral Trade Agreement (BTA) had stalled last month following US President Donald Trump’s imposition of steep 50% tariffs on Indian imports on August 27. But with US Trade Representative Brendan Lynch landing in New Delhi and talks officially back on the table, hopes are high that some kind of breakthrough could be within reach. President Trump himself fanned optimism last week with a post on Truth Social, reaffirming his ongoing discussions with Prime Minister Narendra Modi and expressing confidence in the partnership.
Textile Stocks in the Spotlight
Few sectors have more at stake than textiles—the second-largest employer in India, supporting over 45 million jobs and accounting for roughly 12% of the country’s total exports. On Tuesday, shares of Vardhman Textiles, Trident, Gokaldas Exports, Indo Count Industries, Pearl Global, Welspun Living, and KPR Mill leapt as much as 6% during intraday trading. Market watchers linked these sharp gains directly to renewed hopes for easing tariffs and improved market access under any new agreement.
Meanwhile on the technical side, analysts highlighted key support and resistance levels: day traders eyed Sensex zones at 81,750–81,500 for support and 82,000–82,100 for resistance. Nifty Bank remained solid as long as it stayed above its 9- and 20-day EMAs. The broader European markets lagged behind in the red, while Wall Street had closed higher Monday night—adding further momentum for Indian equities.
What’s Next for Markets?
All eyes are now fixed on how these Washington-Delhi negotiations unfold. Officials see today’s talks as a possible opening to rescue a free trade deal that seemed all but dead just weeks ago. With textile giants leading the way and investors clearly sniffing opportunity, there’s cautious optimism that this round of diplomacy could finally break the deadlock—and perhaps even spark more rallies ahead.
