Banking stocks on Wednesday came under selling pressure for the second day in a row, after Moody's downgraded State Bank of India on Tuesday.
The Bombay Stock Exchange's (BSE's) banking index or bankex, which plunged 2.5%, or 258 points, was the top loser among BSE sectoral indices.
SBI, which fell 4%, was the top loser. ICICI Bank, HDFC Bank, Kotak Mahindra Bank and Punjab National Bank also fell 1-3%.
The BSE Sensex closed down 73 points, or 0.5%, to 15792.