Benchmark indices ended the day sharply lower led by declines in banking and metal stocks. Weak global cues particularly from Asia had a telling effect on the market after worries over growth rates in China.
The Sensex ended the day lower by 241 points, while the Nifty fell 72.8 points in trade. Leading the set of losers from the Nifty were stocks like Ultratech, Bajaj Auto, Hero Motor Corp and Tata Motors.
Vedanta, NMDC and Hindalco crashed to new 52-week lows.
Banking stocks also saw deep cuts and delivery based selling was seen in Yes Bank. PSU Banking shares fell sharply after Morgan Stanley said its was underweight on the space. Canara Bank, Bank of India, PNB and State Bank of India were among the major losers.
Tech stocks saw some buying support with Tech Mahindra and Infosys among the gainers in trade after the rupee fell to a near 2 year low. Shares in Divi's Labs touched a life high of Rs 2,463 on sustained buying support.
Meanwhile, markets across Asia ended the day with steep losses, while most of Europe was trading lower.