India, Jan. 17 -- The US markets settled notably higher with gains around a percent on Thursday following the signing of a trade truce between the US and China on Wednesday and Senate approval of a new trade deal between the US, Mexico and Canada on Thursday. A batch of largely upbeat US economic data also contributed to the buying interest, with a report from the Labor Department showing an unexpected decrease in initial jobless claims in the week ended January 11. The Labor Department said initial jobless claims fell to 204,000, a decrease of 10,000 from the previous week's unrevised level of 214,000. The drop came as a surprise to street, who had expected jobless claims to inch up to 216,000.

The Commerce Department also released a repo...