Benchmark equity indices Sensex and Nifty tumbled in early trade on Thursday after US President Donald Trump announced the imposition of a 25 per cent tariff on all goods coming from India starting August 1, plus an unspecified penalty for buying Russian crude oil and military equipment.

The 30-share BSE Sensex tanked 786.36 points to 80,695.50 in opening trade. The 50-share NSE Nifty tumbled 212.8 points to 24,642.25.

The announcement is being seen as a pressure tactic to get New Delhi to agree to demands made by the US, which has, in recent days, got favourable trade deals with major partners like Japan, the UK and the European Union.