After opening with a loss of 178.35 points today, the Sensex, which lost over 195 points on Monday, continued to trade in the negative terrain owing to profit booking witnessed across frontline stocks.

Investors were also churning portfolio prior to June series F&O expiry and change in Nifty index composition.

Religare Securities report said, “US markets closed in the red and Asian markets too are negative. Asian stocks fell, sending the MSCI Asia Pacific Index down by the most in almost six weeks, as concern an economic recovery will be delayed dragged commodity prices lower and spurred demand for the yen as a haven. We expect our market to open down and witness continued selling for the day.”

The stocks, which dragged the index down included realty, metal, banking, consumer durables and capital goods.  

Secondline stocks were also trading in the red zone. BSE Midcap and Smallcap index declined 1.79% and 2.26% respectively.

Companies having lower market capitalisation witnessed greater selling pressure, with the BSE midcap index trading 1.79 percent lower and the BSE smallcap index moving down 2.26 percent.

Around 11:54 a.m., the benchmark index of the Bombay Stock Exchange (BSE), the Sensex was ruling at 14,160.10 points, 166.12 points or 1.16 percent below Monday's closing figure.

Around the same time, the S and P CNX Nifty of the National Stock Exchange (NSE) too was ruling in the red, 43.95 points down at 4,191.305 points.

“Trend deciding level for the day is 14421 / 4270. If Nifty trades above this level during the first half-an-hour of trade then we may witness a further rally up to 14573 - 14820 / 4318 - 4400. However, if Nifty trades below 14421 / 4270 for the first half-an-hour of trade then it may correct up to 14175 – 14023 / 4187 – 4139,” said Angel Broking note.

The top gainers included in the 30-share index included Reliance Industries (1.89%), NTPC (1.52%), Tata Motors (1.47%), ONGC (1.34%), Grasim Industries (1.15%), and Tata Power Company (0.60%).

On the other hand, the top losers list comprised Sterlite Industries (India) (5.63%), Hindalco Industries (5.39%), ICICI Bank (4.46%), Jaiprakash Associates (4.28%), DLF (4.12%) and ACC (3.74%).  

At 12:10 p.m., IST, Asian stocks declined as mining companies and auto manufacturers declined on worry that worldwide economic recovery will falter.

Japanese benchmark index Nikkei lost 276.66 points to trade at 9,549.61. Hong Kong’s Hang Seng index dropped 390.14 points to trade at 17,663.36 and China’s Shanghai Composite was trading up by 31.85 points at 2,928.16.