Indian equity markets are likely to make positive start on Wednesday following firm cues from global markets. Some optimism may come amid developments surrounding India-US trade talks. Traders are looking forward to India’s GDP growth rate data, which is scheduled to be released on February 27. 

Some of the key factors to be watched:

India, Canada to start FTA talks this week: Commerce and Industry Minister Piyush Goyal said that India and Canada are expected to soon finalise terms of reference to start negotiations for a free trade agreement (FTA) later this week. Canadian Prime Minister Mark Carney will arrive in India on February 26.

Indian economy marked by stable, accelerating growth: Reserve Bank of India Deputy Governor Poonam Gupta has said that high, stable and accelerating growth, along with more predictable economic outcomes, have become the hallmarks of the Indian economy.

India-US trade talks to resume soon: Commerce and Industry Minister Piyush Goyal said that as soon as there is more clarity in the situation at the tariffs front in the US, India will resume trade talks.

India's GDP expected to register over 8% growth in October-December quarter: State Bank of India's Economic Research Department said that Indian economy is expected to record a growth rate closer to 8.1 per cent in the October-December quarter under the revised series with the new base year of 2022-23. 

Airline stocks will be in watch: Ratings agency ICRA said Indian airlines are expected to reduce losses to an estimated Rs 11,000-12,000 crore next fiscal from a projected Rs 17,000-18,000 crore this financial year, even as it maintained a stable outlook for the domestic aviation industry. 

On the global front: The US markets ended in green on Tuesday, as fears around artificial intelligence disruption to certain industries eased. Asian markets are trading mostly in green on Wednesday as producer prices in Japan were up 2.6 percent on year in January. 

Back home, Indian equity benchmarks tumbled over a per cent on Tuesday, dragged down by heavy losses in IT stocks amid concerns over artificial intelligence-led disruption and renewed trade-related uncertainties. Rising global crude prices amid escalating US-Iran tensions also hit investor sentiment. Finally, the BSE Sensex fell 1068.74 points or 1.28% to 82,225.92 and the CNX Nifty was down by 288.35 points or 1.12% to 25,424.65.

Some of the important factors in trade:

New CPI series to reduce volatility in headline inflation: Reserve Bank of India (RBI) Governor Sanjay Malhotra said that the new CPI inflation series based on 2024 prices will better reflect Indian households' consumption patterns and reduce volatility.

Govt monitoring gold imports closely: Finance Minister Nirmala Sitharaman attributed rising gold prices to heavy purchases by central banks globally, and said the government and RBI are keeping a close watch on the precious metals' imports, though they are not at an ‘alarming proportion’. 

Govt halves rate of duty benefits under RoDTEP scheme for exporters: The government has reduced the duty benefits under the export support scheme, the Remission of Duties and Taxes on Exported Products (RoDTEP), by half, prompting the exporting community to seek a reconsideration of the decision.