The broader NSE Nifty too was down more than 1.2 per cent, thus slipping below the 10,000-mark.
The barometer finally ended lower by 129.91 points or 0.39 per cent at 33,006.27, ending its two-day gaining streak.
On Thursday, negative cues on the back of global protectionist measures, higher interest rates in the United States and hike in crude oil prices, along with selling pressure in banking, auto and capital goods stocks depressed the key indices.
Realty, metal, bankex, capital goods, healthcare, PSU, auto and oil & gas stocks recorded widespread losses.
At 10:15 a.m., the 30-share Sensex was trading 388.34 points or 1.18% lower at 32,617.93.
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Among the companies trading in red were Yes Bank, Tata Steel, ICICI Bank, SBI, Bajaj Auto, Axis Bank, Tata Motors, Hero MotoCorp and L&T, falling by up to 3.08 per cent. Leading bank stocks and Tata Steel scrips were losing the most.
Investor sentiment turned extremely bearish, in line with sharp losses on the Wall Street and Asian markets, on growing fears of a global trade war after Donald Trump imposed tariffs on Chinese imports and Beijing drawing up a list of retaliatory measures, brokers said.
Open interest in the March futures of Jindal Steel and Power, Steel Authority of India, Vedanta, National Aluminium Co and Hindalco Industries saw a change of 2-9%, while they ended 4-7% lower in the spot market. Except IT and media stocks, all sectors on the Nifty closed in the red.
Biggest losers in the 30-share index were State Bank Of India (2.46%), Mahindra & Mahindra (2.14%), I C I C I Bank (2.09%), Maruti Suzuki India (2.01%), Cipla (1.62%), and Dr Reddy'S Laboratories (1.60%).
While, Teck and IT indices ended in the positive zone with gaining up to 0.32 per cent.
In Asian region, Japan's Nikkei lost 4.51 per cent, Hong Kong's Hang Seng fell 2.45 per cent, while Shanghai Composite Index shed 3.39 per cent. Paris CAC 40 was down 1.69%, while Frankfurt's DAX lost 1.81%.
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