Key equity benchmarks extended losses for sixth straight trading session on Monday, dragged by selling pressure in pharmaceuticals, auto and PSU banks stocks. Negative global cues spoiled investors sentiment.

Domestic stock markets will remain closed on Tuesday, 8 October 2019 on account of Dussehra.

The barometer index, the BSE Sensex, fell 141.33 points or 0.38% to 37,531.98, as per the provisional closing data. The Nifty 50 index fell 48.35 points or 0.43% to 11,126.40, as per the provisional closing data.

The market breadth was tilted in favour of sellers. On the BSE, 896 shares rose and 1,627 shares fell. A total of 228 shares remain unchanged. In Nifty 50 index, 18 stocks advanced and 32 stocks declined.

The broader market was under pressure. The S&P BSE Small-Cap index fell 0.75%. The S&P BSE Mid-Cap index fell 0.24%.

After opening higher, the Nifty 50 index reversed gains in early trade. Buying emerged at lower levels and pushed the index to fresh intraday high in morning trade. The 50-unit index traded in narrow range with modest gains for most part of the session. Sudden selling pressure in late trade dragged the index below 11,200 mark.

On the NSE, 187 stocks hit their 52-week low today, which includes names like Edelweiss Financial Services (down 7.27%), Piramal Enterprises (down 7.14%), Bharat Heavy Electricals (down 6.97%), PNB Housing Finance (down 4.35%), Somany Ceramics (down 3.10%), CCL Products (India) (down 2.43%), Ambuja Cements (down 2.24%) and Grasim Industries (down 0.94%).

Yes Bank gained 8.19% to Rs 45.60 on reports that the bank is in talks with three top technology companies, including Microsoft Corp., to induct one of them as a strategic shareholder. According to reports, Yes Bank could sell as much as 15% through a fresh equity issuance. The plan is part of the bank's strategy to get fresh capital infusion and augment its digital ambitions.

The bank, however, clarified during trading hours today that it was not aware of the source, which resulted in the above mentioned news item and as a matter of policy, the bank would not like to comment on such article.

Index pivotal HDFC Bank rose 0.15%. The bank said its advances rose 19% to approximately Rs 897000 crore as of 30 September 2019 as compared to Rs 750800 crore as of 30 September 2018 (Rs 829700 crore as of 30 June 2019). The bank's deposits rose 22% to approximately Rs 1021500 crore as of 30 September 2019 as compared to Rs 833400 crore as of 30 September 2018 (Rs 954600 crore as of 30 June 2019). The bank's CASA ratio stood at around 39.2% as of 30 September 2019, as compared to 42% as of 30 September 2018 and 39.7% as of 30 June 2019. During the quarter ended 30 September 2019, the bank purchased loans aggregating Rs 7160 crore through the direct assignment route under the home loan arrangement with Housing Development Finance Corporation.

Bajaj Finance fell 0.1% to Rs 3900.35. The company said its assets under management (AUM) rose 38.25% at approximately Rs 135,500 crore as of 30 September 2019 as compared to Rs 98,013 crore as of 30 September 2018. Customer franchise as of 30 September 2019 stood at approximately 38.7 MM as compared to 30.1 MM as of 30 September 2018. During the quarter, the company acquired 1.9 MM new customers. New loans booked during Q2 FY20 were 6.5 MM as compared to 5.3 MM in Q2 FY19. During the quarter, the company has entered into facility agreement with various banks toavail ECB loans of $575 million in one or more tranches. The company has not yet drawn any amount from these facilities.

Pharmaceutical stocks witnessed selling pressure. Piramal Enterprises (down 6.74%), Wockhardt (down 3.09%), Cipla (down 2.28%), IPCA Laboratories (down 2.1%), Cadila Healthcare (down 1.55%), Sun Pharmaceutical Industries (down 1.3%) and GlaxoSmithKline Pharmaceuticals (down 0.18%) declined. The Nifty Pharma index was down 3.49% at 7,138.75.

Aurobindo Pharma fell 16.49% to Rs 473.65. Media houses reported that the Pharma major received 7 observations for its Unit-7 facility and failed to thoroughly review unexplained discrepancies. The inspection was conducted by United States Food and Drug Administration (USFDA) from 27 September 2019 to 29 September 2019. The drug regulator further added that the control procedures were not established, lab records did not include complete data from all the tests, the responsibilities and procedures for quality control were not strictly abided by and the medical instruments and utensils were not kept cleaned at regular intervals.

Glenmark Pharmaceuticals tumbled 9.27% to Rs 286.4 after the company said it received a warning letter from the US drug regulator for its Baddi facility in Himachal Pradesh. An inspection conducted by the US Food and Drug Administration (USFDA) between 15 to 20 April 2019 at Glenmark Pharmaceuticals' Baddi facility in Himachal Pradesh, India. The inspection was classified as 'Official Action Indicated' vide a letter by USFDA. The USFDA has now issued a 'warning letter' to the Baddi facility. The company said it is committed to work along with USFDA to implement all the necessary corrective actions required to address the concerns raised in the letter & is in the process of preparing a detailed response to USFDA within 15 working days.

Lupin fell 3.07%. The drug major announced the launch of Mycophenolate Mofetil Capsules USP, 250 mg. Lupin's alliance partner Concord Biotech (Concord) had received an approval from the United States Food and Drug Administration (USFDA) earlier. The announcement was made after market hours on Friday, 4 October 2019.

Dr Reddy's Laboratories was down 0.26%. Dr Reddy's Laboratories informed that the company has received the Establishment Inspection Report (EIR) from US FDA, for the its API manufacturing plant 2 at Bollaram, Hyderabad, indicating closure of the audit and the inspection classification of this facility is determined as Voluntary Action Initiated (VAI). The announcement was made on Saturday, 5 October 2019.

Ashok Leyland fell 5.51%. The automobile giant said it will observe non-working days ranging from 2-15 days in October 2019 to align production. Auto ancillary major, Bosch fell 1.83% to Rs 13,036 after the company said it will observe no production days for upto 10 days per month per plant during the third quarter of the financial year 2019-2020. In order to align production with sales requirements, Bosch at its various plants belonging to powertrain solutions division, will continue to observe ''no production days'' ranging upto ten days per month per plant during the third quarter of the financial year 2019-2020. The announcement was made after trading hours on Friday, 4 October 2019.

BEML fell 0.54% to Rs 936.30. The company said it bagged further orders in Metro from M/s Delhi Metro Rail Corporation (DMRC) for 'RS15' - design, manufacture, supply, testing and Commissioning of 80 units Broad Gauge Intermediate Cars compatible with existing 'RS1' type trains for conversion of 6-car train set to 8-car train set valuing Rs 729 crore approx. The announcement was made after market hours on Friday, 4 October 2019.

State-run BPCL slumped 4.71% to Rs 490.95 as the scrip witnessed profit booking for second consecutive session. A government panel of secretaries on Monday, 30 September 2019, reportedly proposed to privatise BPCL. The proposal for the strategic sale, or privatisation, will now be taken up by the Union cabinet. Apart from the cabinet clearance, the sale of BPCL needs to be approved by both the Lok Sabha and Rajya Sabha as the company was formed by an act of Parliament. As on 30 June 2019, the government held a 54.16% stake in BPCL. The privatization of BPCL will help the government in meeting at least a third of its Rs 1.05-lakh-crore divestment target.

Overseas, European markets were trading lower while most Asian markets closed negative on Monday. Investors awaited a fresh round of US-China trade negotiations set to begin later this week.

Principal-level trade negotiations between the United States and China are reportedly set to begin on Thursday in Washington. Tariffs on $250 billion worth of Chinese goods are scheduled to rise to 30% on 15 October 2019. Both countries have slapped tariffs on billions of dollars worth of each other's goods, which has roiled global markets, created uncertainty and dampened economic growth outlooks around the world.

US markets rallied on Friday after data showed the U.S. unemployment rate dropped to the lowest in almost 50 years, easing concerns of a slowdown in the world's largest economy. U.S. jobs data released Friday showed moderate growth as the jobless rate in September fell to a 50-year low while nonfarm payrolls rose by 136,000 in September.