Goldiam, Kalyan Jewellers, Titan jump as India-US tariff cut lifts jewellery shares

New Delhi (PTI): Gems and jewellery stocks were in the limelight on Tuesday after India and the US agreed to a trade deal under which Washington will bring down the reciprocal tariff on Indian goods to 18 per cent from the current 25 per cent.

Shares of Goldiam International skyrocketed 20 per cent, Vaibhav Global zoomed 20 per cent, Kalyan Jewellers India jumped 7.61 per cent and Senco Gold edged higher by 7.41 per cent on the BSE.

The stock of Shringar House of Mangalsutra jumped 6.61 per cent, P N Gadgil Jewellers advanced 6.25 per cent, PC Jeweller surged 5 per cent and Titan climbed 4.68 per cent.

In the equity market, the BSE benchmark traded 2,390.71 points or 2.94 per cent higher at 84,065.17, and the NSE Nifty quoted 707 points or 2.8 per cent up at 25,794.30.

"The agreement reduces reciprocal US tariffs on Indian goods from 25 per cent to 18 per cent, removing a major overhang that had weighed on export-oriented sectors, manufacturing, and overall market sentiment in recent months," Ponmudi R, CEO of Enrich Money, an online trading and wealth tech firm, said.

India and the US have agreed to a trade deal under which Washington will bring down the reciprocal tariff on Indian goods to 18 per cent from current 25 per cent, US President Donald Trump said on Monday after a phone conversation with Prime Minister Narendra Modi.

The announcement assumes significance as several labour-intensive sectors like textiles, apparel, leather and marine were facing challenges to export goods to the US due to the 50 per cent tariffs.