New Delhi, April 28 -- Foreign portfolio investors (FPIs) do not expect the border fury to rock the stock markets, their positions in the derivatives market indicate, besides expecting good tidings from a US trade deal.

The Pahalgam terror attack has raised concerns of a potential retaliatory strike on Pakistan, a development which could rattle market sentiments. However, FPIs appear to believe that stocks will remain unscathed.

Data from Friday showed that FPIs have closed out a huge quantity of bearish option contracts, which protect them during sharp market corrections. They also continued to buy in the cash segment last week, which experts attribute to their hopes of a bilateral trade agreement materialising with the US.

On Friday,...