Snapping 5-day gaining streak, Indian equity benchmarks ended lower on Thursday, as renewed tensions in West Asia faded the ceasefire-led optimism. The ceasefire deal appeared to be at risk after Iran closed the Strait of Hormuz again in response to Israeli attacks on Lebanon. Weak trends in Asian markets, a jump in crude oil prices and uninterrupted foreign fund outflows also drove the markets lower. 

Some of the important factors in trade:

World Bank revises India’s GDP growth projection to 6.6% for FY27: The World Bank, in its South Asia Economic Update April 2026 report, has marginally raised India's growth projections for the fiscal year 2026-27 (FY27) by 30 basis points to 6.6% compared to its October 2025 forecast of 6.3%.

Banks’ asset quality improves with gross NPAs declining to 2%: The Reserve Bank of India (RBI) has underscored the improvement in asset quality of Indian scheduled commercial banks and said that their gross non-performing assets (NPAs) ratio has declined further to 2% in December 2025. 

Securitisation jumps 9% to hit record high of Rs 2.55 lakh crore in FY26: Crisil Ratings’ report said securitisation deals grew 9 per cent to an all-time high of Rs 2.55 lakh crore in FY26. The January-March quarter alone witnessed a 20 per cent year-on-year jump in activity to take the overall transactions to Rs 65,000 crore. 

Power stocks remain in watch: New and Renewable Energy Minister Pralhad Joshi has said that India achieved a total non-fossil power generation capacity addition of 55.3 gigawatt (GW) during FY 2025-26, which is the highest-ever annual increase, compared to 29.5 GW added in 2024-25. 

Global front: European markets were trading lower as German industrial output data disappointed and doubts grew over the Midde East truce. Asian markets ended mostly in red in the face of growing signs of fragility in the two-week ceasefire pact between the United States and Iran in the Middle East. 

Finally, the BSE Sensex fell 931.25 points or 1.20% to 76,631.65 and the CNX Nifty was down by 222.25 points or 0.93% to 23,775.10.

The BSE Sensex touched high and low of 77,429.33 and 76,347.90, respectively. There were 9 stocks advancing against 21 stocks declining on the index. 

The top gaining sectoral indices on the BSE were Capital Goods up by 1.64%, Metal up by 1.30%, Power up by 1.27%, Healthcare up by 0.74% and Utilities up by 0.69%, while Bankex down by 1.58%, Consumer Durables down by 0.53%, Consumer Discretionary down by 0.45%, Auto down by 0.37% and Realty down by 0.37% were the top losing indices on BSE.

The top gainers on the Sensex were Bharat Electronics up by 1.57%, NTPC up by 1.12%, Power Grid Corporation up by 1.12%, TCS up by 1.09% and HCL Technologies up by 0.55%. On the flip side, Interglobe Aviation down by 3.64%, Larsen & Toubro down by 2.75%, Eternal down by 2.34%, HDFC Bank down by 2.31% and ICICI Bank down by 2.18% were the top losers.

Meanwhile, the World Bank, in its South Asia Economic Update April 2026 report, has marginally raised India's growth projections for the fiscal year 2026-27 (FY27) by 30 basis points to 6.6% compared to its October 2025 forecast of 6.3%. It said although Goods and Services Tax (GST) rate cuts would boost consumer demands in the initial months of the fiscal, but headwinds from the Middle-East crisis could dent growth. The World Bank’s FY27 projection is lower than 6.9% estimated by the Reserve Bank of India (RBI), while it is higher compared to 6.1% by the OECD and 6% by Moody's Ratings. 

As per the report, India's growth is estimated to have accelerated from 7.1% in FY25 to 7.6% in FY26, owing to strong domestic demand and export resilience. Private consumption growth is particularly robust, supported by low inflation and rationalisation of the GST. It added that although the reduction in GST rates should continue to support consumer demand in the first half of FY27, elevated global energy prices are likely to put upward pressure on prices and constrain households' disposable income. 

It noted that government consumption growth is expected to soften to onset higher subsidy outlays for cooking fuel and fertilisers. Investment growth is likely to moderate amid elevated uncertainty and rising input costs. It further said improved access to the United States and the European Union (EU) for India's exports will be undermined by slower growth in major trading partners.

CNX Nifty touched high and low of 23,990.75 and 23,682.80, respectively. There were 21 stocks advancing against 29 stocks declining on the index.     

The top gainers on Nifty were Hindalco up by 3.30%, Bajaj Auto up by 1.62%, Bharat Electronics up by 1.59%, Dr. Reddy's Lab up by 1.56% and NTPC up by 1.48%. On the flip side, Interglobe Aviation down by 3.61%, JIO Financial Services down by 3.19%, Larsen & Toubro down by 2.89%, Shriram Finance down by 2.70% and Eternal down by 2.47% were the top losers. 

European markets were trading lower; UK’s FTSE 100 decreased 38.73 points or 0.37% to 10,570.15, France’s CAC fell 74.17 points or 0.9% to 8,189.70 and Germany’s DAX lost 272.43 points or 1.13% to 23,808.20.

Asian markets ended mostly in red on Thursday as optimism over the US-Iran ceasefire faded after Iran said that some terms of the deal had been breached. Iran’s parliamentary speaker Mohammed Bagher Ghalibaf accused the U.S. of breaching the ceasefire deal. He said the violations highlighted were denial of the Islamic Republic’s right to enrich uranium, Israel’s continued attacks on Lebanon and a drone’s entry into Iranian airspace. Further, rising crude oil prices also weighed on sentiments. Besides, Shanghai Composite and Hang Seng ended lower as investors were awaiting China's first-quarter inflation print due on Friday to gauge domestic demand. Meanwhile, Japanese market -- Nikkei 225 ended lower as Japan's consumer sentiment decreased in March from a nearly 7-year high in the previous month. The seasonally adjusted consumer confidence index dropped to 33.3 in March from 39.7 in February, which was the highest reading since April 2019.