"I arrived here in June shortly after the new government was formed. You know that President (Barack) Obama called up Prime Minister elect even before he was sworn in to congratulate him and extend an invitation and I think that set the tone," Stephens, US ambassador charge d'affaires ad interim to India told reporters here.
She was responding to a query as to what brought about a thaw in the frosty ties between the US and Modi, who was a persona non grata for that country since the 2002 Gujarat riots.
The state department had in 2005 revoked a visa that Modi had for travelling to the US on the ground of alleged human rights violations after the 2002 Gujarat riots.
Stephens said a string of high-profile visits by the US leaders to India during which they met Modi were "very positive".
"My life (here) is dominated by visits. First one was of senator John McCain, then John Kerry (secretary of state), Penny Pritzker (secretary of commerce) and Chuck Hagel (secretary of defence).
"Why I am mentioning all these names is in each case, we had an opportunity to meet Prime Minister Modi. So the fact that he was ready to give time to talk about how we go forward in this relationship, we took it as a very positive sign. And they were all very positive meetings," she said.
"So we are placed well and signals from the (Indian) government are very clear. Not only at the prime ministerial level but at the level of the government also...a great priority has been given to the India-US relationship which President Obama has called a defining relationship," Stephens said.
The US had maintained minimum contact with the Gujarat government in the aftermath of 2002 riots till the visit of Ambassador Nancy Powell to meet Modi in February this year ahead of the elections after he had been declared BJP's prime ministerial candidate.