Friday, the Indian market closed sharply higher for the second straight day despite a subdued trend in the other Asian markets. The market opened on a flat note and remained choppy in the first half of the session. Strong buying emerged in the afternoon after the European markets saw a firm opening led by gains in banks and commodity stocks.

Stocks saw further strength in late trading as investors went on bargain hunting amid attractive valuations. Investors were particularly impressed with the revival of FII buying in Indian equities and ignored analyst warnings about a near-term correction in the market. After being net sellers in the past 2-3 sessions, FIIs bought shares worth Rs.241.13 crore on a net basis on Thursday.

The market may remain volatile next week as traders roll over positions from the near-month April contracts to May in the derivatives segment ahead of the expiry of April contracts on Wednesday.

After opening modestly higher at 11,149, the BSE Sensex traded choppily for a while before rising to the day's high of 11,363. However, since then, the Sensex has pared some of its gains and closed at 11,329, up 194 points or 1.74% over the previous close. Similarly, the S&P CNX Nifty rose 57 points or 1.67% to 3,481.

On the BSE, the market breadth was extremely positive, with advancers outnumbering decliners by 1536 to 970. The small-cap and the mid-cap indexes also rose in line with the benchmarks, recording gains in excess of 1.70% each. Banking, consumer durable and capital good stocks led the rally.

Among the major gainers, Mahindra & Mahindra surged up 7.01%, Jaiprakash Associates soared 6.07%, Grasim Industries jumped 5.68% and Bharti Airtel rallied 5.47%.

ACC, Reliance Infrastructure, Reliance Communication, Tata Power, State Bank of India, Tata Motors, TCS, HDFC, Larsen & Tourbo, and ICICI Bank were the other prominent gainers.

However, IT stocks Wipro and Infosys, defensive stocks Ranbaxy and Hindustan Unilever, state-owned company NTPC and steel maker Tata Steel ended in the red.

Reliance Industries rose 1.26% after announcing fourth quarter earnings in line with market expectations. HDFC Bank gained 1.60% on strong Q4 results.

IT stocks closed mixed as the rupee traded stronger at its one-week high of Rs.49.86 against the dollar on Friday.

Carmaker Maruti Suzuki closed up 0.33% after its net profit rose 18.33% for the March quarter year-over-year. IDBI Bank surged up 13.08% after posting a 28.02% rise in its net profit to Rs.313.67 crore for the March quarter compared to Rs.245 crore in the same period last year.

Engineering construction and infrastructure firm HCC slipped 0.35% even as it posted a 94.47% rise in its net profit for the March quarter year-over-year. Piramal Healthcare gained 3.86% despite reporting a 13.49% decline in its consolidated net profit for the fourth quarter ended March.

Welspun India was locked in the 5% upper circuit limit amid reports that the company would list two of its spun-off entities, Welspun Global Brands and Welspun Investments, on the National Stock Exchange within a month.

GlaxoSmithkline Consumer Healthcare jumped 5.59% on reporting a net profit of Rs.838.90 million for the three months to March compared to Rs.565.50 million in the corresponding quarter last year. Nagarjuna Construction advanced 3.63% after around 10 lakh shares changed hands in a block deal on the Bombay Stock Exchange.

Spicejet rallied 5.39% and ABG Shipyard climbed 15.22% as traders covered their short positions in these stocks after the Bombay Stock Exchange debarred these stocks from short selling with effect from May 4.

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