US Trade Deal Primes Indian Stocks for Foreign Buying Rush

Indian equities are primed to ease their run of underperformance after a long-awaited trade agreement with the US, which removes a key overhang on financial assets that had triggered record foreign outflows.

US President Donald Trump agreed to cut tariffs on Indian goods to 18% from 25% and eliminate an additional 25% duty linked to the purchases of Russian crude oil. Fund managers see the deal as a potential catalyst for global investors to return to Indian equities after the market’s worst January since 2016, while also supporting a rupee that has hit record lows. Early market reaction signaled rising ...