Indian equities ended lower on Wednesday, December 27, after setting fresh intraday highs earlier in the session. Notably, investor sentiment reversed on media reports that government spending may exceed the budget in the months until the end of the fiscal year in March 2018. In sectoral terms, metals, media, FMCG, automotive and pharmaceutical stocks outperformed the broader market, while banking and financial names saw losses. Recapping the benchmarks, the Nifty 50 slipped 0.39% to 10,490.75, and the BSE Sensex closed 0.29% lower at 33,911.81. By 10:40 GMT, the USD/INR currency pair firmed 0.17% to 64,140, while EUR/INR traded up 0.39% to 76.2490. The 10-year Indian government bond yield widened to 7.289%. In the pharmaceutical sector, Sun Pharmaceutical Industries soared 6.5% after the US FDA accepted the company’s application seeking approval for its new dry eye drug. Aurobindo Pharma and Dr. Reddy's Laboratories followed suit, gaining 1.0-1.1%. Telecom heavyweight Reliance Communications spiked 33.5%, extending yesterday’s rally that kicked off after the company announced a new cost reduction plan that does not call for any asset write-downs. The daily chart shows that a bearish engulfing pattern has shaped up on the BSE Sensex, while the Slow Stochastic Oscillator is hovering in overbought territory. As a result, the benchmark can be expected to extend the downturn in the short term. $SENSEX, S&P BSE SENSEX INDEX / D