Equity Benchmark indices extended losses in opening on Wednesday, tracking weakness in global peers and due to selling pressure in banking & financials.
The 30-share BSE Sensex was down 265.86 points or 0.77 percent at 34,080.53 and the 50-share NSE Nifty slipped 86.60 points or 0.82 percent to 10,467.70.
HPCL, ICICI Bank, Hindalco Industries, Eicher Motors, Axis Bank, Indiabulls Housing, Vedanta, Bajaj Finance and Bajaj Auto were losers in early trade.
PNB plunged 5 percent. Nifty Midcap fell over a percent.
About four shares declined for every share rising on the BSE.
PSU Bank index slipped over 2 percent as Bank of Baroda, Bank of India, Dena Bank, Canara Bank, IDBI Bank and Syndicate Bank were under pressure.
Oberoi Realty, VIP Industries, Chennai Petroleum, Vakrangee and Bharat Forge were down 1-5 percent.
On the global front, US stocks fell for the first time in four days Tuesday after comments from new Federal Reserve Chair Jerome Powell sent rates higher.
Asian markets edged down following a congressional testimony from the Federal Reserve's new chief.
Japan's Nikkei, China's Shanghai Composite, Hong Kong's Hang Seng, Australia's ASX 200 and South Korea's Kospi were down 0.6-1.6 percent.
Shares of Cipla rose 1 percent on partnership with Roche Pharma.
The company entered in to an agreement with Roche Pharma under which Cipla will promote and distribute Tocilizumab (Actemra) and Syndyma, the 2nd brand of Roche’s cancer therapy, bevacizumab (Avastin) in India.