The Sensex ended the day sharply lower with the Sensex closing the day lower by 207 points, while the Nifty closed the day lower by 51 points. Leading the set of losses from the Sensex was ITC, which fell almost 2 per cent after reports that the government may ban the sale of loose cigarettes.
Hero Motor Corp was the biggest loser from the index along with Coal India. Nifty stocks that gained ground in trade was ICICI Bank after the company announced a stock split. J&K Bank ended the day lower after the flood situation in the region.
PSU banking stocks managed to hold ground among the banking stocks with IDBI Bank, Indian Overseas Bank and Canara Bank all gaining above 2 per cent.
Mid cap stocks ended the day flay with Jain Irrigation and JSW Energy among the losers. Unitech, Anant Raj and DLF were among the stocks that saw sharp gains from the realty sector.
Meanwhile, markets across the globe fell on worries over hikes in US interest rates. Europe was trading lower with the German DAX, French CAC and the UK's FTSE all lower.