Besides, muted Q2 earnings posted by some bluechip companies dampened sentiments.

The 30-share index dropped by 134.27 points, or 0.51 percent at 25,987.13 with metal, oil & gas, IT, tech, PSU and banking sector stocks, leading the slide.

The gauge had cumulatively lost 469.19 points in last four sessions.

In a similar fashion, the broad-based National Stock Exchange index Nifty slipped below the 7,900-level by losing 58.15 points, 0.73 percent at 7,857.05.

Brokers said sentiments remained bearish on sustained foreign fund outflows and a weak trend at other Asian markets, tracking overnight losses at the US markets as poor Chinese data and a fall in crude oil prices weighed on the market.

Among other Asian markets, Hong Kong's Hang Seng was down 0.85 percent, while Japan's Nikkei shed 0.75 percent in morning trade today. Shanghai Composite index dropped 0.81 percent.

The US Dow Jones Industrial Average ended 1 percent lower in yesterday's trade.

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