At 15.00 PM, the 30-share BSE Sensex and 50-share CNX Nifty dipped 0.8% at 25,704 and 7,681.60 levels respectively.
ICICI Bank, Axis Bank, ITC, ONGC and Bharati Airtel slumped between 1-2% each.
Meanwhile, the market breath at the BSE was marginally positive with 1485 advances 1428 declines
continued to trade in red during the late noon trades led by bank shares leading the fall on worries that valuations of their bond portfolios took a hit after bond prices eased following RBI's status-quo on key policy rates.
Global cues such as the Ukraine tensions also dampened the investor sentiments
At 14.25 PM, the 30-share BSE Sensex dipped over 0.5% at 25,775 and the 50-share CNX Nifty shed over 0.6% at 7,699.45
Meanwhile among the broader markets, BSE Small-cap index was nearly up 0.5% and continued to outperform major benchmark share indices. BSE Mid-cap index traded 0.2% lower.
The rupee fell to 61.33/34 after hitting 61.41, its lowest since March 14 and weaker than its 60.8450/8550 close on Tuesday.
Good dollar buying was seen from foreign banks likely on behalf of clients looking to exit their equity and debt investments in India.
were trading lower as investors turned cautious and booked profit on worries that the geopolitical tensions between Russia and Ukraine could escalate. The Nikkei ended down 1% at 15,159.79. Among other major markets in the region, Hang Seng, Straits Times and Shanghai Composite were down 0.1-0.3% each.
European markets were also trading weak in early deals as investors shunned risky assets on concerns over the rising tensions between Russia and Ukraine. The CAC-40, DAX and FTSE-100 were down 0.5-0.9% each.
SECTORS & BUZZING STOCKS
The BSE IT index was the top sectoral gainer as the Rupee was trading near 5-month low. The Capital Goods and the Power indices gained over 0.6% and 0.7% respectively.
Among the losers, BSE Bankex and Metal indices slumped nearly 1% followed by Realty, Oil & Gas, Auto, FMCG and Healthcare indices, all down between 0.2-0.5% each.
Infosys has surged nearly 3% extending its 5% rally in past two trading sessions on reports that the company's former Board members and CFOs recommended an immediate buyback of shares worth Rs 11,200 crore (approx $2 billion) to restore investor confidence in the company's stock.
In the banking space, ICICI bank, Axis Bank, SBI edged lower between 1-2% each while HDFC shed over 0.6%.
Among the capital goods shares, BHEL gained over 2% while L&T gained over 0.4%.
Oil and gas major RIL was up over 1% while ONGC dipped 1%. GAIL was trading flat.
Tata Motors was the top Sensex loser, down over 2% while Maruti Suzuki slipped 0.6%. M&M gained 1% followed by Bajaj Auto and HeroMotocorp.
Among other shares, Apollo Tyres has dipped 6% after reporting lower-than-expected consolidated net profit of Rs 228 crore for the first quarter ended June 30, 2014 (Q1), due to poor performance of South African business . The company had registered a profit of Rs 166 crore in the same quarter last fiscal.
Bhushan Steel has locked in lower circuit of 20% at Rs 305, also its 52-week low on the NSE, on back of heavy volumes.