The 30-share index tumbled 476.38 points, or 1.72 percent, to 27,131.44 in morning trade. The gauge had lost 323.82 points in the previous session.
The wide-based National Stock Exchange Nifty fell below 8,300-mark, dropping 135.30 points, or 1.62 percent, to 8,237.45 points. Of 50 Nifty scrips, 46 constituents were in the negative territory with losses of up to 4 percent.
Among 30 Sensex scrips, 27 were in negative zone with Bharti Airtel falling the most by 5 percent. All the BSE sectoral indices, led by auto, capital goods and healthcare, were trading in negative with losses up to 2.56 percent.
Bharti Airtel lost over 5 percent, Tata Motors by 3.5 percent, Hero Motors Corp by 3.4 percent and Vedanta by 3 percent in morning trade. ICICI Bank, HDFC, Larsen Toubro, State Bank of India and ITC too fell up to 3 percent dragging the index down.
Sustained selling by funds amid weak trend on Asian bourses following overnight sell-off in Europe and US markets as concerns have mounted that China's slowdown would drag on global growth, brokers said.
Besides, the depreciating rupee which fell sharply by 27 to trade at two-year low of 65.81 too weighed on sentiments, they said. Among Asian markets, Hong Kong's Hang Seng index was down by 2.05 percent and Japan's Nikkei index shed 2.10 percent in the morning trade.


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