July 30 (Reuters) - India's equity benchmarks are set

for a muted start on Wednesday as caution ahead of the U.S.

Federal Reserve's policy decision and delay in India-U.S. trade

deal overshadow better-than-expected earnings from

infrastructure major Larsen & Toubro.

The Gift Nifty futures were trading at 24,825 points

as of 7:50 a.m. IST, indicating that the Nifty 50 will

open near Tuesday's close of 24,821.1.

While the Fed is expected to keep rates unchanged later in

the day as it sifts through mixed economic data, comments from

Chair Jerome Powell will be closely watched for economic and

inflation outlook.

Higher U.S. interest rates make emerging market equities

like India less attractive for foreign investors, who have been

on a selling spree in India this month.

Foreign investors sold shares worth 46.37 billion rupees

($532.49 million) on Tuesday, as per provisional data. They have

sold Indian shares worth $1.61 billion so far this month.

Uncertainty over India's interim trade deal with the U.S.

ahead of President Donald Trump's August 1 deadline has been

weighing on investor sentiment.

India is preparing to face higher U.S. tariffs - likely

between 20% and 25% - on some of its exports as a temporary

measure, as it holds off on fresh trade concessions ahead of

Washington's August 1 deadline, two Indian government sources

said.

Among stocks, Larsen & Toubro will be in focus

after it beat quarterly profit estimates on Tuesday, boosted by

rising overseas contracts.

STOCKS TO WATCH

** Power generator NTPC posts higher profit, but

its revenue falls in the first quarter. State-owned company says

it has identified potential sites for nuclear power projects

** Star Health and Allied Insurance posts lower

profit along with a drop in its operating income for the first

quarter

($1 = 87.0810 Indian rupees)