Mumbai: Benchmark equity indices snapped their seven-week losing streak, rallying over 4 per cent in Thursday's session, mirroring gains in global markets.

For the week, Sensex and Nifty rose nearly 10 per cent. Hopes of a second stimulus package in coming days also bolstered the sentiment on Street.

According to a Reuters report, the package will be worth around Rs 1 lakh crore with a focus to help small and medium businesses weathering the coronavirus outbreak.

Last month, India outlined Rs-1.7-lakh-crore($22.6-billion) economic stimulus plan providing direct cash transfers and food security measures to give relief to millions of poor hit by an ongoing 21-day nationwide lockdown. However, the market may take cues from the extent of the spread of coronavirus in the country in the days to come. The 30-share Sensex closed 4.23 per cent or 1,266 points higher at 31,160, while the 50-share Nifty closed 4 per cent or 354 points higher at 9,103. For the holiday-shortened week, the indices rallied 10.24 per cent and 10.28 per cent, respectively.

Indian markets were closed on Monday for Mahavir Jayanti and will be closed tomorrow for Good Friday. Market at a glanceOn Thursday, the market breadth was extremely positive with more than three shares advancing for every share that declined. The rally added nearly Rs 4 lakh crore to the market capitalization of the listed companies on the BSE. India VIX or the volatility index eased 5.12 per cent to 49.56, indicating that the choppiness would gradually wane. The rally was broad-based with BSE500 index rising 3.88 per cent.

BSE Midcap and BSE Smallcap indices rose 3.63 per cent 3.15 per cent, respectively. All the sectoral indices closed higher.

BSE Auto was the top gainer as it zoomed ahead 10.26 per cent, with all components ended in the green.

Motherson Sumi and Mahindra - Mahindra gained 17.54 per cent and 16.74 per cent, respectively. BSE Consumer Durables index followed suit, and rose 7.10 per cent, with all constituents logging gains.

Titan and TTK Prestige were the top gainers, as they advanced 11.12 per cent and 9.48 per cent, respectively. As many as 27 Sensex stocks closed higher, with financials contributing the most to the benchmark’s gains. Mortgage lender HDFC and private lender HDFC Bank rose 9.29 per cent and 3.98 per cent, respectively.

Peers ICICI Bank and Kotak Mahindra Bank advanced 7.41 per cent and 7.51 per cent, respectively. Top car maker Maruti Suzuki India climbed 13.16 per cent. Analysts views“While the trajectory of Covid-19 infections in India is now getting steeper, it is hoped that the effect of lockdown will start to show positive results in the coming days.

With the exception of the FMCG sector, valuations have become reasonable for most sectors.

Investors should accumulate stocks with strong balance sheets, market leadership, and good management quality.

Such stocks can deliver good returns when economic conditions normalize,” - Sanjeev Zarbade, VP PCG Research, Kotak Securities"On the back of positive global cues, the market rose led by spirited all-round buying as Automobiles, Financials and Pharmaceuticals led the charge despite profit booking witnessed.

Today's trade saw even consumer discretionary and consumer durables stage a comeback ahead of expectations of a stimulus to help MSME weather the pandemic." - S Ranganathan, Head of Research at LKP SecuritiesGlobal marketsGlobal shares rose on Thursday on hopes the COVID-19 pandemic was nearing a peak and that governments would roll out more stimulus to support their economies, while expectations of a deal to cut oil production bolstered crude prices, Reuters reported. The pan-European STOXX 600 index was up 1.7 per cent, while MSCI’s All-Country World Index, which tracks shares across 49 countries, was up 0.5 per cent to its highest since March 12. US stock futures were up 1 per cent after bouncing in and out of positive territory in Asia. In Asia, MSCI’s broadest index of Asia-Pacific shares outside Japan was up 1.56 per cent, following a strong Wall Street close.