Benchmark indices halt losing streak as US trade signals lift mood

Indian stock markets snapped a 5 session losing streak after diplomatic signals from Washington suggested progress toward a potential trade agreement with New Delhi. Investors reacted positively to indications of renewed engagement, helping stabilize benchmarks following a weak start to the year. Despite the rebound, caution persisted due to ongoing geopolitical tensions and global market volatility, with traders closely monitoring further developments for confirmation of sustained momentum.

Indian equity markets reversed steep intraday losses after early selling pressure, as comments from US Ambassador Sergio Gor indicated that India US trade discussions could resume by January 13. The Sensex recovered more than 1,000 points from the day’s low, erasing a near 700 point decline. Investor sentiment improved despite lingering tariff concerns related to Iran trade and broader geopolitical risks. Diplomatic optimism drove a benchmark rebound.