However, the Greece problem seems to have taken a back seat in the markets.
BSE Sensex ended the day at 17,386.08, down 172.63 points while NSE Nifty shut shop at 5222.75, down 55.25 points.
The Asian markets too traded in red. Hang Seng, Straits Times and Kospi plummetted 1 to 1.4 per cent.
4: 25 PM
Sensex tanks 163 pts; Reliance Infra, Hindalco dip
The Indian markets continued thier downtrend on persistant weak global cues. While Sensex tanked over 150 points, Nifty continues to trade below the 5300 mark.
At 2: 20 pm, BSE Sensex was trading at 17,395.37, down 163.34 points while NSE Nifty was at 5222.80, dowm 55.20 points.
Hindalco, Sterlite Industries, Grasim, Jaiprakash Associates and Reliance Infra were the largecap losers, down 2 to 3 per cent.
However, on the positive side, Hero Honda, Reliance Communication, Maruti Suzuki, HDFC and Wipro went up marginally.
Index heavyweight Reliance was down 0.75 per cent, while refinery major HPCL was up 2.36 per cent.
Cigarette major ITC was trading at Rs 263.25 down 0.68 per cent.
Mkts continue in the red; Siemens, Unitech lose
After opening in the red, the indices continue on a southbound journey. At 12: 30 pm, BSE Sensex was trading at 17,455.96, down 102.75 points and NSE Nifty was at 5244.75, down 33.25 points.
The BSE Midcap index also plunged into the negative zone. However, BSE Smallcap index was up almost 0.25 per cent.
Selling was seen in capital goods, IT, power, realty and banking stocks while some buying was seen in auto and pharma arena.
On Nifty, Idea Cellular, Mahindra and Mahindra, Suzlon Energy, BPCL and Sun Pharma gained while BB, Hindalco, Siemens, Unitech and Reliance Infra lost.
Hero Honda, Maruti Suzuki, Bajaj Auto and Mahindra and Mahindra gained in the atuo space, while in pharma arena Sun Pharma and Lupin surged.
12: 39 PM
Mkts open in red on weak global cues
Weak global cues forced the Indian markets to start the week on a negative note. While Nifty was under the 5250 level, Sensex opened 100 points down.
The global markets are reacting negatively against the criminal probe on Goldman Sachs and CRR hike in China.
At 9:02 am, the Sensex was trading at 17447, down 110 points and the Nifty was at 5238, down 38 points. However, the CNX Midcap was trading 8066, up 5 points.
Ambuja Cements, Reliance Capital, Sterlite Industries, Infosys, ABB, TCS, Maruti, Tata Motors and Hindalco were the frontliners witnessing selling pressure.
On the positive side, BPCL, Idea Cellular, M&M, Kotak Mahindra Bank, Reliance Communications and Bharti Airtel gained.
Among the other gainers were RNRL up 2.7 per cent, Glenmark Pharma up 7 per cent, Sona Koyo up 4 per cent, TVS Motor up 3.4 per cent and UCO Bank up 5 per cent.
However, South Indian Bank lost 14 per cent, Indiabulls Real Estate lost 1 per cent, Gujarat NRE Coke, Apollo Tyres and Allahabad Bank fell 1.5 to 2.5 per cent.
9: 35 AM