It was indeed a volatile day for Indian share markets today.

Tracking a route in the global markets, benchmark indices tumbled for the second day as investors were spooked by a possible spillover of China's Evergrande debt woes and fall in commodity prices ahead of US Federal Reserve policy meet outcome.

At the closing bell, the BSE Sensex stood lower by 525 points (down 0.9%).

Meanwhile, the NSE Nifty closed lower by 188 points (down 1.1%).

Hindustan Unilever and ITC were among the top gainers today.

Tata Steel and JSW Steel, on the other hand, were among the top losers today.

The SGX Nifty was trading at 17,379, down by 226 points, at the time of writing.

Both, the BSE Mid Cap index and the BSE Small Cap index ended down by 1.8%.

Sectoral indices ended on a negative note with stocks in the metal sector, realty sector, and power sector witnessing most of the selling pressure.

FMCG stocks, on the other hand, witnessed buying interest.

Shares of Tata Elxsi and KEI Industries hit their respective 52-week highs today.

The rupee is trading at 73.74 against the US$.

Gold prices for the latest contract on MCX are trading up by 0.4% at Rs 46,159 per 10 grams.

Here are 5 Factors Why Indian Stock Markets Plunged Today:

China's Lehman moment: The fate of Chinese property giant Evergrande, and it's US$300 bn in liabilities, is in the balance with a bond interest payment due on Thursday. If it fails to pay, it can have wider repercussions.

Weak global cues: Major Asian stock markets including Japan, China, and Korea were closed today due to public holidays.

Other Asian stock markets ended on a negative note today.

Concerns about the health of China's economy and Beijing's crackdown on tech firms continued to haunt the region, with stocks in Hong Kong's Hang Seng index skidding more than 3% to their lowest in almost 11 months.

That apart, US stock futures fell, pointing to an extension of recent losses on Wall Street as concerns regarding China's indebted property sector rippled into global markets.

Futures for the S&P 500 dropped 1.2% today after the broad stocks gauge posted its biggest two-week decline since February. Futures on the Dow Jones Industrial Average lost 1.7% and contracts for the technology-focused Nasdaq-100 fell 1.1%.

Interest rate decisions: Central banks in the EU, Japan, UK, Switzerland, Sweden, Norway, Indonesia, the Philippines, Taiwan, Brazil, South Africa, Turkey, and Hungary all have meetings this week, which will induce some uncertainties.

The Norges Bank is expected to be the first in the G10 to raise interest rates.

Consumer sentiment: US consumer sentiment steadied in early September, but consumers continue to have a bleak view of the outlook amid a stiff bout of inflation, a survey showed on Friday.

Profit booking: Apart from the above, losses were also seen as the share market succumbed to profit-booking.

Most of the profit-booking was seen in the metal sector today with stocks such as Tata Steel and JSW Steel dragging the benchmark index lower.

In news from the pharma sector, Lupin was among the top buzzing stocks today.

Shares of Lupin dipped 4% on the BSE in intra-day trade today after the pharmaceutical company said that its Goa facility has received seven observations from the US drug regulator.

The US Food and Drug Administration (USFDA) conducted an inspection of its Goa facility between 6-18 September 2021 and closed it with seven observations.

The Goa plant was inspected in March 2017 and received a warning letter for the facility from the USFDA. The stock had hit a 52-week low of Rs 856 on 10 November 2020.

In a statement, Lupin said,

• We are confident of addressing the observations satisfactorily and are committed to being compliant with Good Manufacturing Practice standards across all our facilities.

Lupin also has Mandideep, Pithampur, and Somerset facility under warning letter while the Tarapur facility is under an official action indicated status.

These seven observations for the Goa facility, which has been under regulatory oversight for four years, can impact investor sentiments.

Lupin shares have so far this year fallen 2.7%, sharply underperforming the benchmark Sensex which has advanced 23.6% in the same period.

Lupin's share price ended the day down by 2% on the BSE.

Moving on to news from the IT sector...

Wipro Launches Wipro-Google Cloud Innovation Arena

Wipro has partnered with Google Cloud to launch the Wipro-Google cloud innovation arena in Bangalore to facilitate cloud services, ensure seamless cloud adoption and accelerate innovation.

The innovation center will offer a unique combination of people, processes, and platforms to create a futuristic experience for customers globally.

Jason Eichenholz, Senior Vice President, Global Head of Ecosystems and Partnerships, Wipro said,

• We are excited to strengthen our partnership with Google Cloud and look forward to leveraging the Wipro-Google cloud innovation arena to increase cloud capabilities, build solutions across industries, and help our customers simplify their processes and workflows.

The innovation arena is the latest example of Wipro's continued commitment to providing customers with world-class resources and support and a vision for their cloud future, he added.

Last week, Wipro had bagged a multi-year contract from the Kuala Lumpur-headquartered Maxis Broadband, a leading converged solutions provider to provide IT-managed services for hybrid Infrastructure and application maintenance.

Meanwhile, Wipro has joined peers TCS and Infosys in hiring aggressively across India and offering salary hikes in the range of 70-120% to full-stack engineers, as the work-from-home model resulting from the Covid19 pandemic has fuelled the need for trained technical manpower.

Wipro's share price ended the day down by 0.4% on the BSE.

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