Positive market breadth

Stocks extended fall in morning trade after a subdued opening triggered by negative Asian stocks. At 10:25 IST, the barometer index, the S&P BSE Sensex, was down 206.66 points or 0.57% at 36,277.67. The Nifty 50 index was down 55 points or 0.5% at 10,912.30.

Domestic stocks opened on a subdued note as the key benchmark indices dropped on negative Asian stocks.

The S&P BSE Mid-Cap index was up 0.15%. The S&P BSE Small-Cap index was up 0.32%.

The market breadth, indicating the overall health of the market, was positive. On the BSE, 1064 shares rose and 844 shares fell. A total of 95 shares were unchanged.

Overseas, Asian stocks declined Thursday following an overnight slide in US equities. The Bank of Japan's monetary policy decision is due Thursday, followed by a briefing from Governor Haruhiko Kuroda. A Bank of England decision is also Thursday.

US stocks dropped on Wednesday after Jerome Powell failed to quell investor angst that the Federal Reserve's tightening policy will throttle economic growth. Investors had anticipated a less aggressive approach amid concern that global growth is slowing.

The US Federal Reserve raised interest rates on Wednesday, as expected, but forecast fewer rate hikes next year and signaled its tightening cycle is nearing an end in the face of financial market volatility and slowing global growth. The rate hike, the fourth of 2018, lifted the target range for the Fed's benchmark overnight lending rate by a quarter of a percentage point to a range of 2.25% to 2.50%.

In economic data, the Commerce Department reported that the US trade deficit increased to $124.8 billion in the third quarter, up from $101.2 billion the second quarter of 2019.

Back home, Vedanta (down 2.42%), NTPC (down 1.97%), HDFC (down 1.63%), Bharti Airtel (down 1.47%) and Power Grid Corporation of India (down 1.43%) edged lower from the Sensex pack.

Yes Bank (up 2.78%), Asian Paints (up 1.3%) and M&M (up 0.74%) edged higher from the Sensex pack.

Pfizer rose 1%. Pfizer announced that its parent company, Pfizer Inc., USA, and GlaxoSmithKline plc have entered into an agreement to create a premier global consumer healthcare company. The announcement was made after market hours yesterday, 19 December 2018.

The joint venture will be a category leader in pain relief, respiratory, vitamin and mineral supplements, digestive health, skin health and therapeutic oral health and will be the largest global consumer healthcare business. In addition, the joint venture is expected to be the first or second largest consumer healthcare player in key geographies, including the United States, Europe, China, India and Australasia. The joint venture will operate globally under the GSK Consumer Healthcare name.

Alembic Pharmaceuticals rose 1.88%. Alembic Pharmaceuticals announced that the United States Food and Drug Administration (USFDA) has conducted an inspection at the company's API facility located at Panelav from 17 December 2018 to 19 December 2018. This was a scheduled inspection and at the end of the inspection, there were zero 483s. The announcement was made after market hours yesterday, 19 December 2018.

Uflex rose 0.53%. Uflex launched three packaging foil solutions for pharma companies. The company unveiled, fast tear strip foil, PET based cold form blister, child resistant & senior friendly foil and branding solutions, for pharmaceutical companies. The announcement was made after market hours yesterday, 19 December 2018.

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