The Sensex has extended losses and touched a low of 13,702.
The index is now down 416 points (3%) at 13,755.
Tata Steel continues to linger in red and is now down 7.5% at Rs 368. DLF and Sterlite have slumped 6.7% each to Rs 287 and Rs 556, respectively.
ICICI Bank, Reliance Infrastructure, Reliance Communications, Jaiprakash Associates, TCS, Larsen & Toubro, ONGC and HDFC have dropped 4-6% each.
The other losers include Hindalco, BHEL, SBI, HDFC Bank, Wipro, Tata Power, Tata Motors and Reliance.
The market breadth is extremely negative. Out of 1,972 stocks traded, 1,669 have declined while only 256 have advanced.