Benchmark indices fell sharply in trade as crude prices dropped sharply and Asian markets also dropped in trade. Weak overseas cues dragged the markets lower. The Sensex was trading with losses of 220 points, while the Nifty fell 76 points.
Leading the set of losers in trade were once again metal stocks with Vedanta dropping a huge 3.9 per cent, Bhel, Ambuja Cements and Idea Cellular.
Banking stocks came in for a severe hammering. State Bank of India and ICICI Bank both hit fresh 52-week lows on sustained selling pressure.
Amara Raja Batteries gained ground after the company reported better earnings.
Meanwhile, markets across Asia were trading sharply lower with the Hang Sang seeing cuts of 2.82 per cent, the Japanese Nikkei seeing cuts of 2 per cent.