The Reserve Bank of India has resumed intervention in the non-deliverable forwards market over the past fortnight to manage rupee volatility triggered by mounting trade tensions with the United States,

Historically, during periods of geopolitical uncertainty and trade-related tensions, investors tend to shift their focus towards domestically driven sectors. Banking stocks, in particular, are often seen as a relatively safer bet in such times.

India's central bank maintained its key interest rate at 5.50 percent on Wednesday, as US President Donald Trump ramped up threats to raise tariffs on New Delhi because of Russian oil purchases. But Trump's announcement Tuesday to "substantially" hike tariffs on Indian imports because of New Delhi's purchases of Russian oil has added pressure on India.