Fresh tensions between the U.S. and China pulled down global equity markets on Monday with the Indian benchmarks shedding over 5% during the morning session.

At 10.10 a.m., the Sensex was trading at 31,995.36, down 1,722.26 points or 5.11%. As many as 29 of the 30 Sensex constituents were in the red with Sun Pharmaceutical the only exception.

Stocks like ICICI Bank, Bajaj Finance, Indusind Bank, Tata Steel, Hero Motocorp, Axis Bank, Maruti Suzuki India, Tech Mahindra and the HDFC twins were among the top losers shedding over 7% each.

The overall market breadth was extremely weak with more around 1,470 stocks in the red as against less than. 360 gainers.

The broader Nifty was down 500 points or 5.07% at 9,360.15. More importantly, the India VIX index surged over 28% after staying subdued in the last few trading sessions.

Elsewhere in Asia, almost all the leading benchmarks were in the red after fresh tensions erupted between U.S. and China after the former alleged that coronavirus originated in a lab in China.

Incidentally, the Indian indices lost heavy ground even as the government relaxed lockdown measures in most part of the country that would lead to economic activity being resumed albeit in a limited context.

Investor sentiments were also subdued due to weak corporate earnings as last week saw heavyweights like Reliance Industries and HUL announce numbers that were well below industry estimates.