Indian equity markets are likely to make a flat to positive start on Tuesday, supported by strong global cues as investors monitor the latest developments in the US-Iran war. However, some cautiousness may come amid continued foreign fund outflows, as foreign institutional investors (FIIs) offloaded shares worth Rs 9,365.52 crore.

Some of the key factors to be watched: 

India’s exports dip marginally in February: The government data showed the country's merchandise exports dropped marginally by 0.81 per cent to $36.61 billion in February. Imports increased by 24.11 per cent to $63.71 billion in February this year from $51.33 billion recorded a year ago.

India to negotiate trade pacts with Philippines, Maldives: The Commerce Ministry has said that India has inked terms of reference with the Philippines and the Maldives to start negotiations for free trade agreements (FTAs). 

India’s unemployment dips to 4.9% in February: The Periodic Labour Force Survey (PLFS) showed that overall unemployment among persons aged 15 years and above fell marginally to 4.9 per cent in February from 5 per cent in January this year. 

Banks write off Rs 9.75 lakh crore loans in 11 years: Minister of State for Finance Pankaj Chaudhary has said that banks have written off loans worth Rs 9.75 lakh crore in the last 11 financial years. The write off peaked in FY20 at Rs 1.59 lakh crore, and since then it has been declining to Rs 47,568 crore in FY25.

Sugar sector’s stocks will be in watch: The All India Sugar Trade Association (AISTA) said India exported 3.15 lakh tonne sugar during October-February in the current 2025-26 marketing year, with the UAE emerging as the top destination. 

On the global front: The US markets ended higher on Monday, fueled by gains in AI-related stocks, with Meta Platforms climbing after a report that it is preparing for sweeping layoffs. Asian markets are trading mostly in green on Tuesday following the broadly positive cues from Wall Street overnight. 

Back home, in an extremely volatile session, Indian equity benchmarks rebounded by over 1 per cent on Monday after facing a massive drubbing in the past three trading days, supported by value buying in blue-chip Auto, banking and FMCG stocks. Traders took support amid a report that said Iran has allowed ships of all countries except US and Israel to pass through the Hormuz Strait. Finally, the BSE Sensex rose 938.93 points or 1.26% to 75,502.85 and the CNX Nifty was up by 257.70 points or 1.11% to 23,408.80.

Some of the important factors in trade:  

Fitch raises India’s GDP growth projection for FY26 to 7.5%: Fitch Ratings has raised India’s GDP growth forecast marginally to 7.5 per cent for FY26 with domestic demand being the biggest growth driver this year. 

India's WPI inflation rises to 2.13% in February: The government data showed wholesale price inflation rose for the fourth straight month, at 2.13 per cent in February, driven by an uptick in prices of food and non-food articles, even though vegetable prices eased on a month-on-month basis. 

India well-placed to deal with any situation on crude oil, fuel amid West Asia supply shock: Union Minister Piyush Goyal has said that India is well-placed to deal with any situation on crude oil and fuel, as the West Asia crisis disrupts gas shipments and shipping routes.