The Sensex today dived to a 3-year low as savage selling in banking stocks, pushed the benchmark indices lower.
Global markets too were seeing a non-stop sell-off, with the German DAX trading more than 3 per cent lower, while the French CAC and the UK's FTSE both dived 4 per cent lower.
The Sensex ended the day lower by 1,709 points, while the Nifty dived 498 points in trade, to end the day at 28,869 points. With today's fall the Sensex has lost nearly 33 per cent from peak levels.
The entire banking pack collapsed in trade with other prominent names like Kotak Mahindra Bank, also dropping as much as 12 per cent. HDFC Bank, which is normally considered a bell weather also slumped 10 per cent in trade, as there was almost a basket selling.
From the Nifty, the Zee stock was a gainer, jumping more than 7 per cent in trade. Coal India stock also managed to stay resilient in a falling market. The company's stock will go ex dividend tomorrow for a dividend of Rs 12 per share.
Shares in aviation stocks saw a virtual collapse in trade, with SpiceJet locked at the lower end of the circuit filter.
Meanwhile, the US Dow Futures were pointing to significantly lower openings for the US markets.