Mumbai : Indian equity markets plunged on the back of negative global cues and caution ahead of F&O (futures and options) expiry during the mid-afternoon trade session on Monday.

Both the key indices traded in the red with losses of more than one per cent each, as heavy selling pressure was witnessed in stocks of banking, automobile and capital goods.

The wider 51-scrip Nifty of the National Stock Exchange (NSE) slipped by 102.45 points or 1.16 per cent to 8,729.10 points.

The barometer 30-scrip sensitive index (Sensex) of the BSE, which opened at 28,630.92 points, traded at 28,318.71 points (at 2 p.m.) — down 349.51 points or 1.22 per cent from the previous close at 28,668.22 points.

The Sensex has so far touched a high of 28,630.92 points and a low of 28,309.08 points during intra-day trade.

The BSE market breadth was tilted in favour of the bears — with 1,642 declines and 926 advances.

On Friday last week, both the key indices were suppressed by profit-booking, along with negative global cues and an outflow of foreign funds.

The barometer index had plunged by 104.91 points or 0.36 per cent, while the NSE Nifty slipped by 35.90 points or 0.40 per cent.

Initially on Monday, the benchmark indices opened in the red following negative Asian markets.

“Volatility in global crude oil prices and negative Asian markets dragged the Indian equity markets lower at the start of the day’s trade,” Anand James, Chief Market Strategist at Geojit BNP Paribas Financial Services, told IANS.

“Lower European market accelerated the falls in the key domestic indices. Unwinding of positions ahead of F&O expiry also depressed the equity markets.”

According to Dhruv Desai, Director and Chief Operating Officer of Tradebulls, the CNX Nifty traded lower tracking negative global cues.

“IT and banking stocks traded down on profit-booking. Auto and oil-gas stocks traded with sideways sentiments,” Desai said.

“Aviation stocks traded firm. FMCG and telecom stocks traded with mixed sentiments due to lack of buying interest at higher levels.”