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Indian equity benchmarks witnessed bloodbath on Monday and settled below their crucial 48,000 (Sensex) and 14,400 (Nifty) levels amid continue rising COVID-19 cases in the country and stricter restrictions imposed in various states. Markets made a gap-down opening as traders remain concerned on report that India reported 275,306 coronavirus disease (Covid-19) cases, the highest single-day spike so far since the pandemic broke out, Worldometer showed. With this, India's Covid tally has shot up to 15,057,767 cases. Adding more pessimism, a private report stated that leading brokerages have downgraded India's GDP growth projections for the current fiscal year to as low as 10 per cent on local lockdowns threatening fragile recovery, with the resurgence of COVID-19 cases posing risks to economic recovery. Also, foreign portfolio investors (FPIs) have pulled out a net Rs 4,615 crore from Indian markets in April so far amid sharp escalation in COVID-19 cases and the consequent restrictions imposed by various states, unnerving overseas investors. 

Markets traded in deep red throughout the day as sentiments remain dampened after the Shopping Centres Association of India (SCAI) said that businesses have been severely impacted, with the revenue falling by almost 50 per cent due to localised lockdowns to prevent the spread of COVID-19 in the country. Many state governments have imposed restrictions and localised lockdowns to stop the spread of the virus. However, markets managed to trim some of there losses in the later part of trade after Finance Minister Nirmala Sitharaman said she has taken inputs from various industry chambers on concerns of India Inc with regard to the management of COVID pandemic and the centre would continue to work with state governments to save lives and livelihood. She sought feedback from businesses to deal with the impact of the second COVID-19 wave on the country’s economy.

On the global front, European markets were trading mostly in green extending their record-setting rally, as optimism about a solid start to the earnings season offset a worrying resurgence in Covid-19 cases globally. Asian markets finished mostly in green on Monday, after Japan's industrial production declined less than estimated in February. The final data from the Ministry of Economy, Trade and Industry showed that industrial production decreased a seasonally adjusted 1.3 percent month-on-month in February. In the initial estimate, industrial production fell 2.1 percent. Shipment declined 1.3 percent monthly in February. According to the initial estimate, shipment fell 1.5 percent. Inventories fell 0.7 percent in February versus 1.0 percent decline in the initial estimate.

Back home, non-banking finance companies (NBFCs) have requested the Reserve Bank to extend the one-time restructuring scheme of MSME advances till March 31, 2022, as these players are unable to revive their businesses. Pharma stocks remained in focus as Pharmexcil said pharma exports from India witnessed over 18% growth to $24.44 billion during the last financial year against $20.58 billion in FY20. Meanwhile, stock of Macrotech Developers listed on the bourses with 9.67% discount on the BSE.

Finally, the BSE Sensex fell 882.61 points or 1.81% to 47949.42, while the CNX Nifty was down by 258.40 points or 1.77% to 14359.45. 

The BSE Sensex touched high and low of 48020.79and 47362.71, respectively. There was 2 stock advancing against 28 stocks declining on the index.

The broader indices ended in red; the BSE Mid cap index tumbled 1.93%, while Small cap index was down by 1.64%.

The lone gaining sectoral index on the BSE were Healthcare up by 0.43%, while Realty down by 3.96%, Capital Goods down by 3.09%, PSU down by 2.98%, Power down by 2.91% and Auto down by 2.75% were the top losing indices on BSE.

The only gainers on the Sensex were Dr. Reddys Lab up by 1.58% and Infosys up by 0.74%. On the flip side, Power Grid Corporation down by 4.17%, ONGC down by 3.91%, Indusind Bank down by 3.89%, Kotak Mahindra Bank down by 3.65% and Larsen & Toubro down by 3.60% were the top losers.

Meanwhile, in order to discuss export situation against the backdrop of surging coronavirus cases and healthy growth in overseas shipments in recent months, the commerce and industry ministry is going to hold a meeting of exporters on April 20, which will be chaired by Commerce and Industry Minister Piyush Goyal.

Federation of Indian Export Organisations (FIEO) Director General Ajay Sahai said that the ministry holds these meetings regularly to discuss issues of exporters and ways to further increase outbound shipments, while Chairman of the Gems and Jewellery Export Promotion Council (GJEPC) Colin Shah said that these meetings are helpful as exporters get a platform to raise their issues.

The meeting also assumes significance as certain exporters are of the view that restrictions, imposed by different states to contain the rising coronavirus cases, for long time could have a bearing on industry.

The CNX Nifty traded in a range of 14191.40 and 14382.30. There were 5 stocks advancing against 45 stock declining on the index.    

The top gainers on Nifty were Dr. Reddys Lab up by 1.53%, Britannia Industries up by 1.25%, Cipla up by 0.88%, Wipro up by 0.76% and Infosys up by 0.65%. On the flip side, Adani Ports down by 4.57%, Power Grid down by 4.12%, ONGC down by 3.96%, Hero MotoCorp down by 3.78% and Bajaj Finserv down by 3.61% were the top losers.

European markets were trading mostly in green, UK’s FTSE 100 increased 12.35 points or 0.18% to 7,031.88 and France’s CAC was up by 14.23 points or 0.23% to 6,301.30. On the flip side, Germany’s DAX was down by11.57 points or 0.07% to 15,448.18.

Asian markets finished mostly in green on Monday marking one month high level, as the unexpectedly strong economic data from the United States, and upbeat earnings updates spurred optimism about a solid global economic rebound from the pandemics. Meanwhile, declining interest rates for the short-term also kindled the market sentiments. Nikkei and Shanghai stocks reversed its early losses in the session. Chinese index settled higher with the robust gains for new energy vehicles firms and increased foreign inflows. As per reports foreign investors purchased a net 14.2 billion yuan. Nikkei’s gains remained capped as the country faced fourth surge on coronavirus cases before the scheduled opening of the Olympic Games.

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