India’s benchmark indexes are set to open higher on Wednesday, on hopes of easing trade tensions after U.S. President Donald Trump said tariffs on Chinese imports would fall significantly following a deal, but not to zero.
Gift Nifty futures were trading at 24,366 as of 8:09 a.m. IST, indicating a 0.8% rise for the Nifty 50 compared with Tuesday’s close of 24,167.25.
Trump backed away from his threats of firing U.S. Federal Reserve Chair Jerome Powell, fuelling a bounce back in the dollar from multi-year lows hit this week.
The escalating trade war between China and the U.S. had investors around the world worried about its impact on the global economy and inflation.
Indian stocks log highest closing levels in nearly four months
Foreign portfolio investors (FPIs) showed signs of returning to India in the last five sessions, buying shares worth more than $2 billion to trim their year-to-date sales to around $15 billion.
A weakening dollar and a mix of cheaper valuations and macroeconomic stability have been driving inflows from foreign investors, analysts had said.
FPI buying and major banks’ better-than-expected earnings led Indian benchmarks to rise for six straight sessions till Tuesday.
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