The Sensex has slipped to a low of 16,875, down 325 points. The NSE Nifty is at 5,011, down 98 points.
All the sectoral indices are trading in red, bankex, oil & gas and FMCG down 2% each.
Tata Steel and Tata Motors have topped the list of losers on the BSE, down 4% each at Rs 539 and 618, respectively.
ITC, ICICI Bank and Mahindra & Mahindra have slipped 3% each to Rs 259, Rs 870 and Rs 1,027, respectively.
SBI, HDFC Bank, Infosys, HDFC, Maruti, Sun Pharma and Larsen & Toubro have declined 2-3% each.
Bharti Airtel on the other hand has advanced 1% to Rs 284. Hero Honda, ACC and Reliance Communications are up 0.5% each.
The market breadth is fairly negative, out of 2,762 shares traded, 1,844 have declined and 837 have advanced so far on the BSE.