Sept 18 (Reuters) -

STOCKS:

The benchmark BSE Sensex settled 0.39% higher at

83,013.96 and the broader NSE Nifty 50 index advanced

0.37% to 25,423.6, led by IT and pharmaceutical shares after the

U.S. Federal Reserve delivered a quarter point rate cut and on

signs of easing trade tensions.

RUPEE:

The Indian rupee dropped 0.4% versus the U.S. dollar to

88.1275, as investors digested the U.S. Federal Reserve's widely

anticipated interest rate cut and its measured stance on further

easing of benchmark borrowing costs.

GOVERNMENT BONDS:

The benchmark 10-year bond was quoted at 98.69

rupees, with the yield up 4 bps at 6.5139%, after hawkish Fed

commentary and ahead of debt supply.

OVERNIGHT INDEX SWAPS:

The one-year overnight index swap rate was up

about 2 basis points at 5.47%, while the five-year swap rate

rose 3 bps to 5.7175%.

CALL MONEY:

India's overnight call money rate was at 5.05% and the

overnight TREPS rate was at 5.3%.

(Reporting by Manvi Pant)