Forty one stocks on the 50-scrip NSE Nifty were trading in the negative zone The stock markets started Wednesday's session on a weak note, with the Sensex shedding as much as 300 points in morning deals.
National Stock Exchange (NSE) benchmark index Nifty fell 99 points to touch 10,702.
Concerns on government formation in Karnataka, where no party got a clear majority in election results on Tuesday, coupled with weakness in other Asian markets kept Sensex and Nifty under pressure, say analysts.
Declines were led by selloff witnessed in banking and energy stocks, with the NSE sub-indices down around 1.1-1.4 per cent.