The Nifty Bank index slid by over 450 points to 50,055 on Wednesday, with banking stocks falling up to 2%, after RBI cut repo rate by 25 bps to 6%. Bank of Baroda emerged as the biggest loser, falling over 2%. Canara Bank, Punjab National Bank, SBI, ICICI Bank's stock also fell amid concerns over narrowing interest margins for banks.

Oil prices dropped to their lowest in more than four years, with Brent futures losing $2.38, or 3.79%, to $60.44 a barrel on Wednesday. Oil prices plummeted on looming demand concerns and potential supply surplus as the US' reciprocal tariffs came into effect. The US' 104% tariffs on China also took effect amid an escalating tariff war between the countries.

RBI Governor Sanjay Malhotra on Wednesday reduced the GDP growth estimate for the current financial year by 20 basis points to 6.5% due to policy and trade uncertainties. On a quarterly basis, real GDP is estimated to be 6.5% in Q1, 6.7% in Q2, 6.6% in Q3 and 6.3% in Q4. RBI expects inflation to be at 4% in FY26.

US President Donald Trump has said that America is earning $2 billion (around ₹17,323 crore) a day from tariffs imposed by him on other countries. "We're doing very well in making...tailored deals," said Trump, adding that Japan, South Korea and other countries are trying to make deals after he imposed sweeping tariffs. Trump called the tariffs "legendary".

Reserve Bank of India's (RBI) Governor Sanjay Malhotra on Wednesday announced Monetary Policy Committee's (MPC) decision to cut the repo rate by another 25 bps to 6%. In February 2025, repo rate was cut by 25 bps to 6.25% in the first reduction since May 2020. Several economists believe RBI will bring repo rate down to 5.5% before 2025 ends.

US President Donald Trump's 26% tariffs on imports from India came into full effect on Wednesday morning. Trump announced the reciprocal tariffs on April 3 at the White House as part of his 'Liberation Day' announcement event. During the announcement, Trump had called Prime Minister Narendra Modi "a great friend" but added that India was "not treating us right".

Google is paying some AI staff to do "nothing" for a year to ensure they don't join any rival companies, Business Insider reported. Google DeepMind is using "aggressive" noncompete agreements for some AI staff in the UK, barring them from working for competitors for up to a year. This can reportedly make researchers feel left out from AI's progress.

Chinese Embassy in India spokesperson Yu Jing claimed that US' abuse of tariffs deprives countries, especially Global South, of their right to development. Adding that India and China's trade relationship is based on mutual benefit, she said, "The two largest developing countries should stand together to overcome the difficulties." "Trade and tariff wars have no winners," she further said.

US President Donald Trump said he told Taiwan Semiconductor Manufacturing Company (TSMC) that it would pay up to 100% tax if it didn't build its plants in the country. "I gave them no money...all I did was say...you're going to pay a big tax," Trump said. TSMC announced plans to build five new chip facilities in the US in March.

US Trade Representative Jamieson Greer claimed that nearly 50 countries approached him to discuss "reciprocity" in view of President Donald Trump's sweeping reciprocal tariffs. "Several of these, such as Argentina, Vietnam, India, and Israel...suggested that they'll reduce their tariffs and non-tariff barriers in line with the President's policy," he said while addressing Senate Finance Committee.