The benchmark BSE Sensex tumbled by 466 points to 27,376.67 in the morning trade on all-round selling from operators following sharp fall in Asian markets and overnight steep fall in US bourses as oil prices continue its sustained fall.
Shares of refinery, realty, auto, capital goods and power declined sharply on heavy selling pressure.
The Sensex resumed lower a 27,694.23 and dropped further to 27,330.47 before quoting at 27,376.67 at 1000hrs (IST), showing a loss of 465.65 points from its last close.
The 50-share Nifty also fell by 140.65 points to 8,237.75.
Major losers were Tata Motors (3.42 pct), ONGC (2.90 pct), SSLT (2.57 pct), BHEL (2.54 pct), Tata Steel (2.51 pct), Hindalco (2.39 pct) and Wipro (2.29 pct).
Asian markets were trading sharply lower after stocks on Wall Street declined overnight following the relentless fall in oil prices. Key indices in China, Japan, Hong Kong, Singapore, Taiwan, Singapore and South Korea were off 0.59 per cent to 2.65 per cent.
U.S. stocks fell sharply on Monday with the S&P 500 extending losses into a fourth session, as energy companies reacted following the fall of oil price to its lowest since April 2009.
