The Sensex ended the day sharply lower by 324 points, while the Nifty fell 109 points in trade to end below the 8000 levels mark.
The Sensex ended the with losses of - points, while the Nifty closed the day lower by - points. Leading the set of losses on the Sensex were shares of Axis Bank, ONGC and Tata Steel. But, the biggest loser from the Nifty clearly was Tata Power which slumped a huge 6 per cent.
Only a select few stocks like Dr Reddy's, Infosys and ITC managed to hold ground. PSU banking stocks were clearly the worst hit in trade with the likes of Canara Bank, Oriental Bank , Syndicate Bank and IDBI Bank all dropping more than 5 per cent in trade.
Mid cap stocks also had a terrible day in trade with Crompton Greaves, Bharat Forge, JSW Energy, India Cements, UPL and Voltas seeing deep cuts.
Bhushan Steel was finally out of the circuit and ended the day with gains of one per cent.
Meanwhile, Asian markets were also slightly edgy ahead of the US Fed meet later today. The final outcome of the US Fed would be known only after the conclusion of the 2-day meet later on Wednesday.