Benchmark indices were trading significantly lower, with the Sensex plunging 450 points, following the volatility on Friday, in which the index swung 1,500 points.
The fall was largely following a 47 paise drop in the rupee at 72.67 to the dollar.
The Sensex was trading lower by 450 points, while the Nifty was lower by 150 points in trade. In fact, the Nifty was trading below the 11,000 points mark at 10,990 points. Shares in housing finance companies were trading mixed after Friday's carnage.
Yes Bank, which plunged as much as fell 26 per cent on Friday, after reports that Rana Kapoor would be granted extension only till Jan 2019, was marginally higher at Rs 227.
Indian benchmark indices are expected to remain increasingly volatile this week, as rupee, crude and the US Fed decision continue to dictate the trend.
The US Fed is expected to decide on interest rates coming Wednesday. In all probability the US Fed would hike interest rates. This may put increased pressure on the markets, as yields in the US too have been constantly been rising.
Key Asian markets were closed for trading today, while other markets like the Australian markets were lower, following worries over trade talks between China and the US.