New Delhi, Aug. 7 -- From 25% to 50% - the tariffs imposed by US President Donald Trump have doubled in just one week, leaving investors worried and confused. With no resolution in sight to an India-US trade deal, and neither side ready to budge, the question remains: Should investors pivot to cash until clarity emerges?

Trump's erratic trade policies have put investors on edge. Analysts see a limited impact on the economy and sector-specific drawdowns, instead of the entire market-wide selloff.

Goldman Sachs had previously estimated a potential direct impact of around 0.3 percentage points (annualised) on India's real GDP growth, following Trump's surprise announcement of a 25% tariff on Indian imports. Now, if the new additional duty ...