At 10:15 am, the BSE S&P Sensex was down by 575 points or 1.93 per cent to 29,241 while the Nifty 50 edged lower by 178 points or 2.06 per cent to 8,482.
Worst hit shares in the Nifty index at the time were Bajaj Finance, Axis bank, Maruti Suzuki, UltraTech Cement, Shree Cement and ICICI Bank, trading between 9.99 per cent and 13.28 per cent lower.
Among stocks, Bharti Infratel was up by 22.6 per cent to Rs 152.10 per share while ONGC jumped by 17.9 per cent and GAIL by 16.3 per cent.
Among stocks, Tata Consultancy Services ticked up by 11.5 per cent to Rs 1,825 per share while Wipro witnessed a spurt of 11.3 per cent and HCL Technologies rose by 10.4 per cent. Tech Mahindra and Infosys too moved up by 9.3 per cent and 9 per cent respectively.
Yes Bank was down by 13.65 per cent, a day after resuming complete services which were stopped as the Reserve Bank of India placed it under moratorium earlier this month.
In Japan, the Nikkei lost by 1.68 per cent, Shanghai Composite by 1.83 per cent, Hong Kong's Hang Seng by 4.55 per cent and South Korea's Kospi by 4.86 per cent.
The other prominent winners were HCL Technologies, Coal India, Eicher Motors and ONGC. But UPL, Bharti Infratel, Bajaj Finserv and Kotak Mahindra Bank were in the red.
Among stocks, IndusInd Bank was the top loser after dropping by 18.3 per cent at Rs 656.25 per share. ICICI Bank and Axis Bank lost by 10.3 per cent and 10.1 per cent respectively.
HDFC gained by 10.5 per cent, Bharat Petroleum Corporation by 9.6 per cent, Sun Pharma by 8.7 per cent and Grasim by 8.4 per cent. The other prominent gainers were Hindalco, Cipla, ONGC and Vedanta.
Overnight on Wall Street, the Dow Jones Industrial Average closed 2,353 lower at 21,201, the S&P 500 tanked 9.5 per cent and the Nasdaq Composite ended 9.4 per cent lower at 7,202.