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India's equity benchmarks are likely to open higher on Wednesday, buoyed by optimism after New Delhi described its ongoing trade talks with the U.S. as "positive" and "forward-looking".

Gift Nifty futures were trading at 25,388 points as of 07:45 a.m. IST, indicating that the benchmark Nifty 50 will open above the two-month high of 25,239.1 hit on Tuesday.

A U.S. delegation of trade representatives met Indian officials in New Delhi on Tuesday.

According to India's commerce ministry, it was decided that efforts will be intensified to achieve early conclusion of a mutually beneficial trade agreement.

Meanwhile, investors are waiting for the Federal Reserve's policy decision post market hours, with the U.S. central bank expected to cut rates by 25 basis points and signal more reductions in the remainder of the year.

Lower U.S. interest rates make emerging markets like India attractive to foreign portfolio investors (FPIs), as Treasury yields and the dollar typically decline in such a scenario.

FPIs bought Indian shares worth 3.08 billion rupees ($35 million) on Tuesday, per provisional data, their fourth session of buying in six, per market depository data.

STOCKS TO WATCH

** Urban Company set to make strong market debut, listing at a premium of around 50% to the issue price, analysts say

** Jindal Steel offers to acquire Germany's largest steelmaker Thyssenkrupp Steel Europe

** India's antitrust body clears JSW Paints' deal to acquire up to 75% stake in Akzo Nobel India

($1 = 87.8970 Indian rupees)