The 30-share barometer, which had lost 624.55 points in the previous six sessions, dipped below the 28,000-mark by falling 215.03 points, or 0.76 percent, to 27,896.80.
Besides, profit-booking in stocks of auto, realty, capital goods, consumer durables, metal and banking sectors, negatively impacted the trading sentiments.
Also, the National Stock Exchange index Nifty dipped below the 8,500-mark by losing 65.90 points, or 0.77 percent, to 8,464.90.
Brokers said squaring-up of positions by speculators as on Thursday is the last trading session of March expiry in the derivatives segment and a weak trend at other Asian bourses, dampened sentiments here.

Among other Asian markets, Hong Kong's Hang Seng was down by 0.35 percent, while Japan's Nikkei fell by 1.57 percent in early trade on Thursday.
The US Dow Jones Industrial Average ended 1.62 percent higher in Wednesday's trade.

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