The BSE Sensex fell 377 points, or 0.4%, to 84,617 in morning trade on Thursday, pulling back from a 13-month high reached a day earlier, as traders assessed the Fed’s decision to cut rates by 25 bps while signaling a pause on further reductions this year. Caution also prevailed as traders awaited the outcome of the meeting between US President Trump and Chinese President Xi Jinping. Investors also focused on Q2 earnings results, including Adani Power and TPC, set to release their reports later in the day. However, losses were capped after Trump expressed confidence on Wednesday that a US-India trade deal would be reached soon. Most sectors traded in the red, led by pharmaceuticals and healthcare, which each fell 1.3%, dragged down by Dr. Reddy’s Lab (-4.7%) after it received a notice of non-compliance from Canada’s Pharmaceutical Drugs Directorate for its Semaglutide injection. Meanwhile, IT stocks fell 0.7%. Other early losers included Sun Pharmaceuticals (-2.0%) and Infosys (-1.3%).
