The market settled with small losses. The barometer index, the S&P BSE Sensex, fell 30.47 points or 0.09% to settle at 32,370.04. The Nifty 50 index fell 19.25 points or 0.19% to settle at 10,121.90. Market participants lacked strong buying conviction amid subdued trading on Asian bourses after the outcome of the Federal Reserve meeting.

Pharma stocks surged as rupee weakened against the dollar. Dr Reddy's Laboratories surged after the company said that the audit of its Custom Pharmaceutical Services (CPS) facility, Technology Development Centre (TDC-1) at Miyapur, Hyderabad, Telangana, by the United States Food & Drug Administration (USFDA) has been completed today, 21 September 2017, with zero observations.

Key indices opened the session with small gains. Later, they slipped into the negative zone tracking subdued trading in Asian bourses and traded with modest losses till mid-afternoon trade. Indices trimmed intraday losses in late trade.

Overseas, most European stocks rose, while Asian stocks were mixed after the Federal Reserve announced a plan to begin unwinding its balance sheet and signaled one more interest rate hike for this year.

In the economic news, European Central Bank (ECB) in its economic bulletin released today, 21 September 2017 said that Eurozone economic growth is gaining momentum and the rapid fall in the unemployment rate is encouraging but inflation has yet to show convincing signs of a sustained upward trend, requiring continued stimulus.

The Bank of Japan (BOJ), at the conclusion of its two-day monetary policy meeting today, 21 September 2017, kept monetary policy steady. In a widely expected move, the BOJ maintained the 0.1% interest it charges on a portion of excess reserves that financial institutions park at the central bank. The central bank also kept its yield target for 10-year Japanese government bonds around 0%. The decision was made by an eight-to-one vote.

US stocks closed at record highs yesterday, 20 September 2017, after the Federal Reserve indicated another rate hike this year was possible and that it would begin the unwinding of its balance sheet next month.

US central bank, at the conclusion of its two-day monetary policy meet yesterday, 20 September 2017, left rates unchanged. Fed stated that it will begin in October rolling off its $4.5 trillion balance sheet, most of which consists of the Treasuries and mortgage-backed securities.

Back home, the Sensex fell 30.47 points or 0.09% to settle at 32,370.04, its lowest closing level since 15 September 2017. The index rose 62.10 points, or 0.19% at the day's high of 32,462.61. The index fell 236.09 points, or 0.73% at the day's low of 32,164.42.

The Nifty 50 index fell 19.25 points or 0.19% to settle at 10,121.90, its lowest closing level since 15 September 2017. The index rose 17.75 points, or 0.18% at the day's high of 10,158.90. The index fell 82.55 points, or 0.81% at the day's low of 10,058.60.

The S&P BSE Mid-Cap index fell 0.34%. The S&P BSE Small-Cap index lost 0.51%. The losses in both the indices were higher than the Sensex's slide in percentage terms.

The breadth, indicating the overall health of the market, was weak. On the BSE, 1,564 shares declined and 1,000 shares advanced. A total of 151 shares were unchanged.

The total turnover on BSE amounted to Rs 4208.81 crore, lower than turnover of Rs 5069.38 crore registered during the previous trading session.

Among the sectoral indices on BSE, the S&P BSE Realty index (down 2.28%), the S&P BSE Consumer Durables index (down 1.43%), the S&P BSE Basic Materials index (down 0.8%), the S&P BSE Utilities index (down 0.78%), the S&P BSE Bankex (down 0.74%), the S&P BSE FMCG index (down 0.72%), the S&P BSE Consumer Discretionary Goods & Services index (down 0.7%), the S&P BSE Metal index (down 0.64%), the S&P BSE Industrials index (down 0.61%), the S&P BSE Energy index (down 0.6%), the S&P BSE Oil & Gas index (down 0.6%), the S&P BSE Capital Goods index (down 0.56%), the S&P BSE Power index (down 0.56%), the S&P BSE Auto index (down 0.47%), the S&P BSE Finance index (down 0.42%), the S&P BSE Teck index (down 0.03%) and the S&P BSE Telecom index 0.03%), underperformed the Sensex. The S&P BSE IT index (up 0.18%) and the S&P BSE Healthcare index (up 2.74%), outperformed the Sensex.

Pharma stocks surged as rupee weakened against the dollar. IPCA Laboratories (up 16.5%), Divi's Laboratories (up 5.11%), Cipla (up 4.04%), Wockhardt (up 3.61%), Cadila Healthcare (up 3.46%), Lupin (up 3.02%), Glenmark Pharmaceuticals (up 2.84%), Alkem Laboratories (up 2.65%), GlaxoSmithKline Pharmaceuticals (up 2.61%), Sun Pharmaceutical Industries (up 2.59%), Piramal Enterprises (up 0.97%) and Aurobindo Pharma (up 0.80%), edged higher. Strides Shasun fell 2.97%. A weak rupee boosts the value of overseas earnings in local terms. Pharma companies derive substantial revenue from exports.

In the foreign exchange market, the partially convertible rupee was hovering at 64.8375, compared with its close of 64.27 during the previous trading session.

Dr Reddy's Laboratories surged 7.47% at Rs 2,486.45 after the company said that the audit of its Custom Pharmaceutical Services (CPS) facility, Technology Development Centre (TDC-1) at Miyapur, Hyderabad, Telangana, by the United States Food & Drug Administration (USFDA) has been completed today, 21 September 2017, with zero observations. The announcement was made during market hours today, 21 September 2017.

Separately, Dr Reddy's Laboratories said that it has received an Establishment Inspection Report from the US drug regulator, for its Formulation Srikakulam Plant (SEZ) Unit II, Andhra Pradesh. The announcement was made during market hours today, 21 September 2017.

Public sector banks declined. Bank of India (down 3.51%), Andhra Bank (down 3.4%), Syndicate Bank (down 2.48%), Punjab National Bank (down 2.37%), Vijaya Bank (down 2.29%), Union Bank of India (down 2.16%), Bank of Baroda (down 1.99%), Allahabad Bank (down 1.98%), UCO Bank (down 1.76%), Central Bank of India (down 1.66%), Corporation Bank (down 1.59%), Canara Bank (down 1.46%), United Bank of India (down 1.34%), IDBI Bank (down 1.23%), Indian Bank (down 1.16%), Bank of Maharashtra (down 0.77%), State Bank of India (down 0.76%), Dena Bank (down 0.48%) and Punjab & Sind Bank (down 0.31%), edged lower.

Private sector stocks were mixed. ICICI Bank (down 1.99%), Federal Bank (down 1.5%), Axis Bank (down 1.37%), City Union Bank (down 0.79%) and HDFC Bank (down 0.39%), edged lower. Kotak Mahindra Bank (up 0.06%), IndusInd Bank (up 0.07%), Yes Bank (up 0.34%) and RBL Bank (up 0.41%), edged higher.

Matrimony.com settled at Rs 901.20 on BSE, a discount of 8.51% over the issue price of Rs 985 on its debut on the stock exchanges today, 21 September 2017. The stock opened at Rs 985, matching with its issue price. The stock had hit a high of Rs 1,025 and a low of Rs 893.20 in intraday trade. On the BSE, 7.23 lakh shares were traded on the counter so far.

The initial public offer (IPO) of Matrimony.com had received bids for 1.24 crore shares as against 28.11 lakh shares on offer. The IPO was subscribed 4.44 times. The company had fixed the price band of the IPO at Rs 983-985 per share. The IPO opened on 11 September 2017 and closed on 13 September 2017.

Meanwhile, the Sensex has fallen 53.72 points or 0.17% in past three trading sessions from its close of 32,423.76 on 18 September 2017. The Sensex has risen 639.55 points or 2.02% in September so far (till 21 September 2017). The Sensex has risen 5,743.58 points or 21.57% in the calendar year 2017 so far (till 21 September 2017). From a 52-week low of 25,717.93 hit on 21 November 2016, the barometer index has risen 6,652.11 points or 25.87%. From a record high of 32,686.48 hit on 2 August 2017, the barometer index has fallen 316.44 points or 0.97%.

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