India's main stock index fell more than 1%, with reports suggesting that India has proposed measures to retaliate against Trump's second term tariffs.

The NIFTY index in India fell by 1.26% and the SENSEX index fell by 1.3%. Reports indicate that India has proposed imposing tariffs on some US goods in response to Washington's steel and aluminum tariffs. This marks India's first retaliation against US President Donald Trump's tariff actions, despite the two sides moving towards finalizing a trade agreement. According to a notice on Monday, India has informed the World Trade Organization that US tariffs on steel and aluminum are "safeguard measures" - trade restrictions - that will be detrimental to India's trade. The notice cites WTO rules stating that New Delhi reserves the right to "suspend concessions or other obligations" in response to US tariffs. This move marks India's first retaliatory action against Trump's second term.