Indian benchmark indices fell sharply in trade as global markets sank after the euro plunged against the dollar and Brent Crude sank to near $50 a barrel mark.
The Sensex was trading sharply lower by 413 points, while the Nifty was down 120 points in trade. Sensex stocks that fell sharply in trade were metal stocks like Sesa Sterlite and Tata Steel. Tata Motors was the top loser in trade.
Banking stocks which have been showing resilience in the last few trading sessions ended the day lower with stocks like ICICI Bank, IDFC and State Bank of India losing heavy ground.
Shares in Videocon Industries bucked the trend and was trading higher after reports that Videocon D2H will sell 33.5 percent stake to US' Silver Eagle for USD 300 million.
IRB Infra continued grind lower after reports of rapids at the company's offices. The stock was down another 2 per cent after Monday's sharp fall.
Meanwhile, markets in Asia slumped with the Japanese Nikkei and the Singapore Strait times losing more then 2 per cent each. European shares fell sharply after worries that Greece could exit the eurozone soon.