Indian equity benchmarks settled marginally higher Wednesday, possibly due to some fresh buying, but analysts are of the view that uncertainty around the India-US trade front will continue to remain key headwinds.
The Indian stock markets opened on a weak note on Tuesday, weighed down by persistent foreign portfolio investor (FPI) selling and concerns over a delay in the India-US trade deal, which may lead to a 15 per cent tariff.
The benchmark indices continued to face selling pressure at higher levels, with analysts indicating that the India-US new interim deal is unlikely to be finalised before the August 1 deadline. On Sunday, the US administration indicated that the August 1 deadline wouldn't be extended further.
The Indian stock market started the week on a negative note as both benchmark indices opened in the red on Monday, reflecting weak global cues and investor caution ahead of the August 1 tariff deadline.
Indian stock markets opened flat on Thursday, anticipating investor sentiments to turn positive with India and the UK formalizing the Free Trade Agreement (FTA) later in the day.
Indian stock markets ended flat in the volatile session on Tuesday as many investors opted to book profits amid ongoing quarterly result volatility, and investors remained cautious ahead of uncertainty on India-US trade agreement.