Indian markets surged in a historic rally on February 03, 2026, propelled by a landmark India-US trade deal that drastically reduced punitive tariffs on exports, providing a major relief from prolonged trade tensions and sparking a euphoric, broad-based buying spree that lifted the rupee and all major indices to record single-day gains.

Indian markets rebounded sharply on February 02, 2026, as investor sentiment recovered from the Budget-day panic, with key indices gaining over 1% on renewed buying in infrastructure and blue-chip stocks. Optimism over positive trade signals and a focus on long-term growth over the STT hike fueled the strong recovery, signaling a partial digestion of the previous session's volatility.

Indian equity markets suffered a severe Budget-day crash on February 01, 2026, with indices recording their worst performance in nearly seven years after the Union Budget proposed a sharp hike in the Securities Transaction Tax (STT). Despite a pro-growth capex push, panic over reduced derivatives liquidity triggered aggressive selling across financials, eclipsing all positive fiscal announcements and igniting extreme volatility.