Indian markets have taken a significant hit, mirroring global market trends, as fears of a potential U.S. economic slowdown resurface.

What Happened: Benchmark indexes opened in the red on Friday, with the Sensex down 709 points at open at 81,159 points. The Nifty 50, which recently breached the 25,000 mark for the first time, dipped by over 1% to 24,751 points. The BSE MidCap and SmallCap indices also saw 1.6% and 1.4% declines, respectively.

Among the Sensex 30 stocks, Tata Motors and Maruti Suzuki bore the brunt of the losses, dropping by up to 4%. Tata Steel also took a hit, falling by 3%. Other notable underperformers included Larsen & Toubro, Tech Mahindra, Adani Ports, NTPC, JSW Steel, ICICI Bank, UltraTech Cement and State Bank of India.

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Indian markets dropped along with its Asian peers as MSCI Asia ex-Japan index fell by 2.3%

The US market too, experienced a sharp downturn following disappointing economic data, including a surge in weekly jobless claims and a contraction in manufacturing growth that exceeded expectations.

These factors have stoked fears of a potential recession in the US. The Dow Jones Industrial Average, S&P 500, and the tech-heavy Nasdaq Composite all saw significant drops.

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