The BSE Sensex slid 343 points to trade at 17,579 points at 12: 25 pm IST. The Nifty lost 109 points and was trading at 5319 points.
In fact, the markets opened the day in the green and soon slid into the red. Amongst the losers in the noon session included Sesa Goa, BHEL, IDFC, Jindal Steel and Tata Steel.
Marketmen continue to be worried over the implications of rising crude on the Indian economy. The government is already running a huge subsidy bill on account of crude, putting an impact on the fiscal and current account deficit of the country.
Oil has now reached a 10-month high and is showing no signs of retreating on mounting fears of Iranian crude supply. In the last week itself, Brent crude climbed by 3.5%.