Indian equity benchmarks wiped off most of their intraday gains but managed to end Thursday's session marginally in green, paced by gains in metal, basic materials, consumer durables and industrials shares. The benchmarks opened higher and extended gains in noon deals, taking support from Chief Economist of the International Monetary Fund (IMF) Gita Gopinath's statement that the Reserve Bank of India (RBI)'s quantitative easing measures are a welcome move. Gopinath also said that this fiscal stance is also appropriate for India overall and that it is good that support isn't being pulled back. She added there is evidence of normalisation of economic activities in India. Sentiments remained up-beat with report stating that growth is of paramount importance now the Reserve Bank of India said it will do whatever it takes to sustain the fledgling recovery by ensuring ample and assured liquidity and cheaper funds to oil the wheels of the economy. Investors remained optimistic with the corporate affairs ministry stating that the latest amendments to the insolvency law by way of an ordinance are aimed at providing an efficient alternative resolution framework for Micro, Small and Medium Enterprises (MSMEs). Pre-packaged insolvency resolution process has been introduced for stressed MSMEs. However, selling pressure in power, utilities and banking shares in the last hour of trade led to indices come off intraday highs. Concerns over rising coronavirus infections and resultant restrictions across the country also kept investors on the edge. Traders also got anxious with Fitch Ratings' statement that India's non-bank financial institutions (NBFIs) face renewed asset quality and liquidity risks amid the second wave of coronavirus infections. These challenges are likely to increase if recent restrictions to contain the pandemic are expanded or prolonged, leading to greater economic and operational disruption. Meanwhile, the Reserve Bank of India announced an extension of interim ways and means advances (WMAs) limit of Rs 51,560 crore to state governments till September, to help them tide over the financial stress posed by the second wave of COVID-19. Finally, the BSE Sensex rose 84.45 points or 0.17% to 49,746.21, while the CNX Nifty was up by 54.75 points or 0.37% to 14,873.80.   

The US markets ended higher on Thursday, with the S&P 500 reaching a new record closing high, following the Federal Reserve's repeated assurances that monetary policy is likely to remain unchanged for the foreseeable future. The minutes of the Fed's March meeting reiterated that the central bank does not intend to change its ultra-loose monetary policy anytime soon. The Fed stressed any changes to policy will be outcome-based, indicating interest rates will remain unchanged until the goals of maximum employment and inflation moderately above 2 percent for some time are achieved. The minutes also showed officials are not concerned about the recent increase in Treasury yields, which the Fed attributed to investor optimism about the economic outlook and expectations of higher Treasury debt issuance. On the economic data front, the Labor Department released a report showing first-time claims for U.S. unemployment benefits unexpectedly increased in the week ended April 3rd. The report said initial jobless claims edged up to 744,000, an increase of 16,000 from the previous week's revised level of 728,000. Jobless claims rose for the second straight week after falling to a one-year low of 658,000 in the week ended March 20th. The continued increase surprised participants, who had expected jobless claims to drop to 680,000 from the 719,000 originally reported for the previous month.

Crude oil futures ended lower on Thursday on concerns about the outlook for energy demand due to rising coronavirus cases and reports about extended lockdown measures in several countries around the world. Further, recent data showing a surge in US gasoline stocks weighed as well. The Energy Information Administration's data showed gasoline stocks increased by 4 million barrels versus expectations of a declines as refiners ramped up production before the summer driving season. Meanwhile, traders were also following the progress on the US-Iran nuclear deal front and weighing plans by OPEC+ to progressively add production amid bets on a significant boost in oil demand over the coming months as vaccinations gain pace. Crude oil futures for May fell 17 cents or 0.28 percent to settle at $59.60 barrel on the New York Mercantile Exchange. June Brent crude dropped 47 cents or 0.7 percent to settle at $62.70 a barrel on London's Intercontinental Exchange.

Indian rupee ended weaker against dollar on Thursday with fresh dollar demand by banks and importers. Investors were concerned as International Monetary Fund (IMF) stated India's debt-to-GDP ratio increased from 74 percent to 90 percent during the COVID-19 pandemic, noting that it expects this to drop down to 80 percent as a result of the country's economic recovery. Traders paid no heed toward Chief Economist of the International Monetary Fund (IMF) Gita Gopinath's statement that the Reserve Bank of India (RBI)'s quantitative easing measures are a welcome move. Gopinath also said that this fiscal stance is also appropriate for India overall and that it is good that support isn't being pulled back. On the global front, dollar traded near its lowest in more than two weeks versus major peers on Thursday, tracking Treasury yields lower, after minutes of the Federal Reserve's March policy meeting offered no new catalysts to dictate market direction. Finally, the rupee ended 74.58, weaker by 11 paise from its previous close of 74.47 on Wednesday.

The FIIs as per Thursday's data were net buyer equity segment, while net seller in debt segment. In equity segment, the gross buying was of Rs 7555.76 crore against gross selling of Rs 7153.07 crore, while in the debt segment, the gross purchase was of Rs 299.77 crore with gross sales of Rs 369.84 crore. Besides, in the hybrid segment, the gross buying was of Rs 8.81 crore against gross selling of Rs 10.92 crore.

The US markets ended higher on Thursday helped to a new high by large technology companies that benefitted from lower bond yields. Asian markets are trading mostly in red on Friday even after technology stocks lifted the S&P 500 to a new record. Indian markets ended off day's high but in the green, rising for a third straight session on Thursday. Gains in metals and IT stocks were capped by losses in banks and financials. Indian markets ended off day's high but in the green, rising for a third straight session on Thursday. Gains in metals and IT stocks were capped by losses in banks and financials. Today, the markets are likely to get flat-to-negative start amid weakness in Asian peers coupled with rising coronavirus cases in the country. Breaking all records, India has recorded a massive surge of 131,893 Covid-19 cases in the last 24 hours. With this, India's tally now stands at 13,057,954, Worldometer showed. Active cases are nearing the 1-million mark. India is now the 4th-worst hit country in terms of active cases. However, some support may come later in the day with Crisil Ratings' report that after eight quarters of either decline or single-digit growth, corporate revenue grew in high double-digits of 15-17 per cent in the March quarter of FY21 to Rs 6.9 lakh crore, partly because of the low base and better realisation due to higher commodity prices, pushing up their operating profits by a much higher 28-30 per cent. Traders may take note of report that Finance minister Nirmala Sitharaman has pitched for an extension of the Debt Service Suspension Initiative (DSSI) by six months through December 2021 to continue support to vulnerable economies in the wake of the Covid-19 crisis. Meanwhile, the Reserve Bank of India (RBI) announced that it will conduct open market purchase of government securities of Rs one lakh crore under the G-sec Acquisition Programme (G-SAP 1.0) in Q1 2021-22 with a view to enabling a stable and orderly evolution of the yield curve. Aviation stocks will be in focus as the International Air Transport Association (IATA) said the total demand for air travel in February measured in revenue passenger kilometres was down 74.7 per cent compared to February 2019. There will be some reaction in NBFCs stocks as rating agencies Icra, Fitch and its domestic affiliate India Ratings (Ind-Ra), said that the recent spike in Covid-19 cases and associated lockdowns, though localised, could adversely impact non-banking companies (NBFCs). It could also act as a dampener for the securitisation market, affecting fund-raising for NBFCs in the near term and may delay recovery in the sector. Auto stocks will be in limelight with the latest vehicle registration data released by the Federation of Automobile Dealers Associations (FADA) showing that retail automobile sales during March 2021 fell sharply by 28.64 percent as compared to the same month last year.

Support and Resistance: NSE (Nifty) and BSE (Sensex)

Nifty Top volumes

• Bharti Airtel has launched Airtel IoT - an integrated platform that enables enterprises to harness the power of IoT and be ready for the emerging era of connected things. 
• M&M is planning to launch its premium SUV XUV700 in the second quarter of the ongoing fiscal. 
• Tech Mahindra has launched its ServiceNow Business Unit to accelerate digital transformation for customers. 
• Infosys has entered into strategic long-term collaboration with ArcelorMittal, the world's leading steel and mining company.