The Sensex ended the day sharply lower and breached the 27,000 mark, but managed to stay above the level and close at 27011 points, down 211 points over its previous close.
Coal India, Tata Motors and Dr Reddy's were the other losers in trade. FMCG majors like Hindustan Unilever and ITC continued their declines as investors worried that rural demand could take a hit.
Software stocks were also weak, though they managed to show some recovery towards the end of trade. Axis Bank was among the major gainers in trade for the second day in a row after the company's results impressed the markets. Other notable gainers were Cipla and Sesa Sterlite.
Shares in Hexaware ended the day sharply lower as IT stocks continued their decline. Investors sold stocks like TCS and Infosys as poor GDP data from the US affected sentiments.
Markets across Asia ended the day with losses with the Shanghai Composite and the Japanese Nikkei closing lower.
Markets would be closed on May 1 on account of Maharashtra Day.