Indian equity markets are likely to make negative start on Friday following the broadly negative cues from Wall Street overnight. Traders may remain cautious ahead of the Reserve Bank of India's (RBI) monetary policy decision and further clarity on the recently announced India-US trade deal. Sentiments may remain subdued due exchange data showed Foreign Institutional Investors turned net sellers after two days and offloaded equities worth Rs 2,150.51 crore on Thursday.  

Some of the key factors to be watched: 

India-US likely to sign trade agreement by mid-March: Commerce and Industry Minister Piyush Goyal said India and the US are likely to sign the first tranche of the much-awaited bilateral trade agreement by mid-March, that would lead to Washington lowering import duties on Indian imports. 

India, GCC to launch FTA negotiations: India and the six-nation bloc of Middle Eastern nations, the Gulf Cooperation Council (GCC), inked terms of reference on February 5 for formally launching negotiations for a free trade agreement (FTA).

Govt borrowing of Rs 17.2 lakh crore to be completed in non-disruptive manner: Economic Affairs Secretary Anuradha Thakur has said government borrowing of Rs 17.2 lakh crore for the next financial year will be completed in a non-disruptive manner, ensuring that enough funds are available for the private sector.

India-US trade deal provides macro predictability amid global competitiveness: Nasscom has said that the trade deal between India and the US provides much-needed macro predictability at a time when technology, talent, and trust are central to global competitiveness.

Telecom stocks will be in watch: According to the report, telecom operators' total adjusted gross revenue dues up to the financial year 2024-25 payable to the government stood at over Rs 1.77 lakh crore.  

On the global front: US markets ended in red on Thursday amid a significant decrease by shares of Qualcomm (QCOM). Asian markets are trading mostly in red on Friday with investors focusing on the outcome of U.S.-Iran nuclear talks in Oman later in the day. 

Back home, snapping three-day gaining streak, Indian equity benchmarks ended lower on Thursday due to losses in Capital Goods, Metal and Industrials stocks. Traders remained cautious ahead of the Reserve Bank of India’s monetary policy decision due on Friday. Global cues added further pressure, with concerns over a broad-based tech sell-off in international markets and heightened US-Iran tensions leading to risk-off sentiment. Finally, the BSE Sensex fell 503.76 points or 0.60% to 83,313.93 and the CNX Nifty was down by 133.20 points or 0.52% to 25,642.80.    

Some of the important factors in trade: 

Faster growth, higher share in global trade key to India’s global standing: In order to gain respect on the world stage, Former NITI Aayog vice-chairman Rajiv Kumar has said that India needs to grow faster and increase its share in global trade.

India-US trade deal ensures farmer protection: Few days after the newly announced India-US trade deal, Union Agriculture and Farmers’ Welfare Minister Shivraj Singh Chouhan has described it as a new example of diplomacy, development, and dignity, further underlining that the interests of the farmers have been fully protected in the agreement. 

GeM procurement surpasses last year’s mark to over Rs 4 lakh crore so far in FY26: The Government e-Marketplace (GeM) CEO Mihir Kumar has said that the procurement of goods and services from the GeM has crossed Rs 4 lakh crore so far this fiscal with over 50 lakh buying and selling orders by various ministries and departments.