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Indian markets pared some early gains to end modestly higher on Thursday, tracking mixed global cues and a surge in international oil prices. Today, markets are likely to get negative start following weakness in global peers. Traders will be concerned as the World Bank projected a growth rate of 6.5 per cent for the Indian economy for the fiscal year 2022-23, a drop of one per cent from its previous June 2022 projections, citing deteriorating international environment. It added that private investment growth is likely to be dampened by heightened uncertainty and higher financing costs. It noted that the second half of the calendar year is weak in many countries and will be relatively weak also in India. Also, a fresh estimates by the World Bank showed that about 56 million Indians may have plunged into extreme poverty in 2020 as a result of the pandemic, increasing the global tally by 71 million and making it the worst year for poverty reduction since World War II. However, some respite may come as Chief economic adviser V Anantha Nageswaran said India is still on course for 7% growth in the current fiscal year although downside risks dominate the upside risk but it's better placed than other countries. Foreign fund inflows likely to support trading sentiments. As per provisional data available on the NSE, foreign institutional investors (FIIs) remained net buyers to the tune of Rs 279.01 crore on October 6. Traders may take note of report that Union minister Piyush Goyal has asked the industry to ensure their products meet international quality standards and help build a 'Brand India' as the country aims to become a developed nation by 2047. He also called for convergence of various quality certification related organisations whether it is FSSAI, the BIS, the Rail or Defense establishments. Besides, the Union Finance Ministry released the seventh monthly instalment of post devolution revenue deficit (PDRD) grant of Rs 7,183.42 crore to 14 states. The grant has been released as per the recommendations of the 15th Finance Commission. The panel had recommended a total grant of Rs 86,201 crore to 14 states for 2022-23. Meanwhile, Reserve Bank Governor Shaktikanta Das has launched a new SupTech initiative DAKSH - the bank's Advanced Supervisory Monitoring System, which is expected to make the supervisory processes more robust. Moreover, the Sebi has cancelled the recognition certificate granted to Brickwork Ratings India for repeated lapses and irregularities in discharging its duties.

The US markets ended lower on Thursday as concerns mounted ahead of closely watched monthly nonfarm payrolls numbers due on Friday that the Federal Reserve's aggressive interest rate stance will lead to a recession. Asian markets are trading mostly in red on Friday tracking overnight losses on Wall Street.

Back home, in a volatile session, Indian Benchmark indices erased most of the gains towards the end but still ended higher on Thursday, with investors eyeing quarterly updates from companies ahead of corporate earnings season. Benchmarks made positive start and added gains in morning deals with strong foreign flows. As per provisional data available on the NSE, foreign institutional investors (FIIs) remained net buyers to the tune of Rs 1,344.63 crore on October 4. Some support came in as the IMF said recent tightening actions by many central banks around the world will help to prevent high inflation from becoming entrenched. Sentiments remained optimistic amid a private report stating that the Department of Commerce is considering the formation of dedicated units called 'subject matter divisions' to build expertise in industries like services, agriculture, medicines, trade remedies, and digital trade as part of a more aggressive approach to free trade agreements. India wants to be able to negotiate agreements with other nations at the World Trade Organization from a position of strength. However, key gauges pared most of their gains in late afternoon session, as some concern came with private survey showed that growth in India's services industry slumped in September to a six-month low, led by a substantial easing in demand amid high inflation. The S&P Global India services Purchasing Managers' Index fell to 54.3 in September from August's 57.2, much lower than the Reuters poll expectation for a gentle drop to 57.0. Despite staying above the 50-mark separating growth from contraction for the fourteenth straight month - the longest stretch of expansion since October 2016 - the index fell to its lowest since March. Some pessimism also came in as the World Trade Organization (WTO) slashed its global trade growth forecast for 2023, stating that elevated commodity prices and rising interest rates would curb import demand, and warned of a likely contraction if the conflict in Ukraine escalates. Finally, the BSE Sensex rose 156.63 points or 0.27% to 58,222.10 and the CNX Nifty was up by 57.50 points or 0.33% to 17,331.80.

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