India and Pakistan agreed to an immediate ceasefire on Saturday, unexpectedly halting the worst fighting in decades between the nuclear-armed neighbors, just when their tit-for-tat strikes appeared to be spiraling out of control.

A fragile ceasefire was holding between India and Pakistan on Sunday, after hours of overnight fighting between the nuclear-armed neighbours, as U.S. President Donald Trump said he will work to provide a solution regarding Kashmir.

US President Donald Trump has said the United States would increase trade "substantially" with both India and Pakistan, after the two nuclear power neighbours reached a fragile ceasefire agreement.