Benchmark indices fell in trade, despite strong global cues, following a decision by RBI Governor Raghuram Rajan to leave the RBI after his term ends in Sept.
The rupee tumbled by a staggering 60 paise in opening trade, following the decision and opened at 67.68 to the dollar, as against Friday's close of 67.08. Check rupee rates against other currencies here
Banking stocks were the worst affected following the news of Raghuram Rajan's decision to leave the RBI.
Eros International Media saw buying support after the company announced a deal for their new and catalogue films with Zee Network, one of India's leading television media and entertainment companies.
Shares in NDTV were trading lower after reports that the Income Tax Department has issued a show cause notice to the company seeking penalty on a Rs 450-crore tax dispute.
Shares in Gammon India jumped after the company reported a net profit as against a loss in the previous quarter.
Realty stocks saw some buying interest after the Securities and Exchange Board of India (Sebi) relaxed rules on Real Estate Investment Trusts. Shares of HDIL, Phoenix and Unitech were all trading higher.
Meanwhile, most Asian markets were trading higher, as fears of Brexit reduced as online polls showed that more Britishers were now keen to stay in the European Union.