Indian markets continued to witness bloodbath during the late noon trading session as traders remain restless on the economic slowdown in China amid fears of an interest rate hike by the Fed.
At 14:13 hours, the 30-share benchmark index, Sensex was trading at 27237.03 down by 370.79 points or by 1.34 per cent, while the NSE Nifty was at 8262.55 down by 110.2 points or by 1.32 per cent.
Sentiment of the investors remained dampened on fret over the health of the world economy with China mired in a steep slowdown, while tumbling currencies and commodities exasperate investor fears, prompting a flight from equities.
Back home, depreciation in Indian rupee continued to weigh down sentiments. The rupee was trading at its weakest since September 2013 at 65.83 down by 30 paise since China devalued its yuan on August 11 along with weakness in the local equities.
In the bearish trade so far, Sensex touched an intraday high of 27442.82 and an intraday low of 27131.44, while the NSE Nifty touched an intraday high of 8305.4 and an intraday low of 8225.05.
Major laggards on the D-street included Vedanta Ltd. (Rs. 93.55,-5.03%), Hero MotoCorp Ltd. (Rs. 2549.80,-3.19%), Bajaj Auto Ltd. (Rs. 2413.80,-3.14%), Tata Motors Ltd. (Rs. 331.80,-3.01%), GAIL (India) Ltd. (Rs. 312.00,-2.67%), among others.
On the flip side, marginal buying was witnessed in Hindustan Unilever Ltd. (Rs. 883.00,+1.08%), Sun Pharmaceutical Industries Ltd. (Rs. 940.20,+0.49%), Infosys Ltd. (Rs. 1143.45,+0.46%), among others.
Among the sectors, selling pressure was visible across most of the sectoral indices, with rate sensitive realty, auto and banking stocks declining the most in the day"s trade so far.
However, IT and Health care index returned back to green amid marginal buying by the investors.The Market breadth, indicating the overall strength of the market, was weak. On BSE out of total 2692 shares traded, 712 shares advanced, 1897 shares declined while 83 remained unchanged.
On the global front, Asian peers ended the day in red as fears over a China slowdown and sliding emerging market currencies unnerved traders. China"s Shanghai Composite fell after private manufacturing gauge contracted at the fastest pace since March 2009, coming in at 47.1 in August, with a reading below 50 signaling contraction, stoking more fears over the health of the world"s second biggest economy. Hang Seng tumbled while Japan"s Nikkei 225 closed in the red even as manufacturing activity hit a seven-month high last month.