Among the sectoral indices, Nifty Realty fell 2.24 per cent, Nifty Financial Services Ex-Bank closed 2.36 per cent down and Nifty Midsmall Financial Services 2.23 per cent.Domestic equity market indices, Sensex and Nifty, fell 1 per cent on Tuesday after the US government notified India about its plans to increase tariffs on Indian goods to 50 per cent effective Wednesday.The BSE’s Sensex lost 1.04 per cent, or 849.37 points, to close at 80,786.54, while the broader Nifty fell 1.02 per cent, or 255.7 points, to finish the session at 24,712.05.Broad-based selling was observed across sectors, except for fast moving consumer goods (FMCG), which gained on expectations of increased consumption. All sector indices, except Nifty FMCG ended the session in red.On August 7, US President Donald Trump announced plans to impose additional 25 per cent tariffs on India for buying Russian oil and weapons but gave a 21-day window to negotiate an agreement, which ends today (August 26). This was on top of the 25 per cent tariff announced late July.“Domestic market sentiment turned cautious as the US penalty tariff deadline expires tomorrow. Investors are closely monitoring the government’s efforts to support economic growth, including proposed GST (goods and services tax) rate revisions and sector-specific relief measures for industries affected by higher tariffs,” said Vinod Nair, Head of Research, Geojit Investments Limited.The Indian government has indicated that it was considering fiscal support measures for exporters as labour-intensive textile and footwear sectors are expected to be hardest hit. It has held discussions with representatives and export promotion councils of some of these key sectors.On Monday, Reserve Bank of India (RBI) Governor Sanjay Malhotra also assured that the central bank was ready to step in with policy measures to support economic growth and sectors hit by the proposed 50 per cent US tariffs if they start to weigh on India’s economic growth.Story continues below this adThe RBI has ensured ample liquidity in the banking system and will take all necessary steps to support economic growth, especially in sectors that may be more severely impacted, Malhotra said.The pressure in the market was compounded by sustained foreign institutional selling, a weakening rupee, and a rebound in crude oil prices, prompting investors to reduce risk exposure, said Ajit Mishra, Senior Vice President (SVP), Research, Religare Broking Ltd.On Tuesday, broader markets underperformed, with Nifty Midcap 100 and Nifty Smallcap 100 indices losing between 1.62 per cent and 2.03 per cent, respectively.Among the sectoral indices, Nifty Realty fell 2.24 per cent, Nifty Financial Services Ex-Bank closed 2.36 per cent down and Nifty Midsmall Financial Services 2.23 per cent.Story continues below this adThe NSE firms that lost the most included Shriram Finance (4.03 per cent), Sun Pharma (3.35 per cent), Tata Steel (2.87 per cent), Bajaj Finance (2.75 per cent), and Trent Ltd (2.45 per cent).ENDS© The Indian Express Pvt LtdTags:US