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Indian equity markets are likely to make cautious start on Thursday tracking mixed cues from global markets. Traders are likely to adopt a wait-and-watch approach ahead of the release of the Wholesale Price Index (WPI) for July. Besides, foreign fund outflows by Foreign Institutional Investors (FIIs) may dampen markets sentiments.

Some of the key factors to be watched:

US tariffs not to impact India's growth: S&P Global Ratings Director YeeFarn Phua said that Trump tariffs will not have any impact on India's growth, as it is not a trade-oriented economy, and its sovereign ratings outlook will continue to remain positive.

India negotiates trade pacts on equal footing, with adequate firmness: Minister of State for Commerce and Industry Jitin Prasada said that India negotiates free trade agreements with nations on an equal footing with adequate firmness, as the country has changed under the leadership of Prime Minister Narendra Modi.

RBI’s revised co-lending arrangement directives to boost growth opportunities: Crisil Ratings said that the revised co-lending guidelines of the Reserve Bank of India (RBI) will increase growth opportunities for NBFCs over the long term because their applicability extends to such arrangements between all REs and all forms of loans, whether secured or unsecured.

India's solar module capacity hit 100 GW mark: Union Minister Pralhad Joshi said that India's solar module manufacturing capacity has hit the 100 GW mark from just 2.3 GW in 2014.

Sugar stocks will be in focus: Sugar trade association AISTA has requested the government to allocate export quotas only to mills willing to ship from their own facilities, saying the current system hampers exports and hurts mill profitability.

On the global front: The U.S. markets ended in green on Wednesday, as stocks continued to benefit from optimism about an interest rate cut by the Federal Reserve. Asian markets are trading mixed on Thursday, as investors may keep a close eye on the meeting of U.S. President Donald Trump and Russian President Vladimir Putin, scheduled to take place on Friday.

Back home, Indian equity benchmarks remained in green throughout the day and ended higher on Wednesday on buying in Healthcare, Metal and Auto stocks as steady US inflation data propelled a sharp rally in global markets. Besides, retail inflation slowing to an 8-year low of 1.55 per cent in July also led to the positive trend in domestic equities. Finally, the BSE Sensex rose 304.32 points or 0.38% to 80,539.91 and the CNX Nifty was up by 131.95 points or 0.54% to 24,619.35.

Some of the important factors in trade:

India's FTA with UK offers big opportunity for Indian textile exporters amid US tariffs: Commerce ministry has said that India's free trade pact with the UK will help boost shipments of garments, home textiles, carpets and handicrafts, with textile exports projected to rise 30-45 percent by 2030. 

India signs trade cooperation pact with Zambia to boost cooperative exports: Union Home Minister and Minister of Cooperation Amit Shah has said that India has signed an agreement with Zambia to promote trade alliances between cooperatives of both nations. The cooperation ministry is working to strengthen India's cooperative export ecosystem through Indian missions abroad.

Direct tax collection falls: The government data showed net direct tax collection dipped 3.95 percent to Rs 6.64 lakh crore so far this fiscal, mainly on account of higher refunds.

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