Indian benchmark indices closed lower as trade war concerns overshadowed inflation optimism. Trump's tariff threats and declines in Reliance Industries and HDFC Bank weighed on markets, erasing early gains from softer inflation data.

What is the market’s outlook on Thursday? Find out how the markets are poised to perform after a surge in global markets.

The Sensex closed 200.85 points lower, or 0.27 per cent, at 73,828.91, while the Nifty ended down by 73.30 points, or 0.33 per cent, at 22,397.20. Both the BSE Midcap and Smallcap indices fell by 0.7 per cent each.