The market ended with sharp losses, snapping three sessions of gains, weighed by slide in index heavyweights HDFC, Infosys and Reliance Industries. IT, metal and pharmaceutical shares witnessed steep selling pressure. Sentiment took a hit on weakness in other Asian and European indices following overnight slump on the Wall Street. Further, the outcome of the Reserve Bank of India's board meeting also failed to impress investors.

Domestic stocks opened on a negative note tracking lower Asian stocks. Stocks hovered in negative zone in morning and mid-morning trade. Key indices cut losses in early afternoon trade. Stocks extended fall in afternoon trade. Indices weakened in mid-afternoon trade tracking slide in European stocks. Weakness continued in late trade.

The Sensex fell 300.37 points or 0.84% to settle at 35,474.51, its lowest closing level since 16 November 2018. The index fell 43.21 points, or 0.12% at the day's high of 35,731.67. The index fell 358.70 points, or 1% at the day's low of 35,416.18.

The Nifty 50 index fell 107.20 points or 1% to settle at 10,656.20, its lowest closing level since 15 November 2018. The index fell 22.55 points, or 0.21% at the day's high of 10,740.85. The index fell 122.55 points, or 1.14% at the day's low of 10,640.85.

The S&P BSE Mid-Cap index fell 1.02%. The S&P BSE Small-Cap index fell 0.92%. Both these indices underperformed the Sensex.

The market breadth, indicating the overall health of the market, was weak. On the BSE, 864 shares rose and 1728 shares fell. A total of 149 shares were unchanged.

Among the sectoral indices on BSE, the S&P BSE Metal index (down 2.82%), the S&P BSE Basic Materials index (down 1.91%), the S&P BSE IT index (down 1.74%), the S&P BSE Teck index (down 1.58%), the S&P BSE Healthcare index (down 1.57%), the S&P BSE Telecom index (down 1.09%), the S&P BSE Consumer Durables index (down 1.08%), the S&P BSE Power index (down 1%) and the S&P BSE Energy index (down 0.9%), underperformed the Sensex. The S&P BSE Auto index (down 0.83%), the S&P BSE Bankex (down 0.78%), the S&P BSE Finance index (down 0.78%), the S&P BSE FMCG index (down 0.71%), the S&P BSE Consumer Discretionary Goods & Services index (down 0.58%), the S&P BSE Industrials index (down 0.55%), the S&P BSE Utilities index (down 0.39%), the S&P BSE Capital Goods index (down 0.37%), the S&P BSE Oil & Gas index (down 0.35%) and the S&P BSE Realty index (down 0.12%), outperformed the Sensex.

Index heavyweight Reliance Industries dropped 0.95% to Rs 1,138.65. HDFC fell 1.31% to Rs 1873.55. ICICI Bank fell 1.24% to Rs 358. State Bank of India fell 1.79% to Rs 283.05.

Yes Bank lost 6.10% after the bank announced that Rentala Chandrashekhar, independent director has tendered his resignation from the bank's board, with immediate effect, due to personal reasons. The announcement was made after market hours yesterday, 19 November 2018.

Maruti Suzuki India fell 1.15%. The company announced during trading hours today, 20 November 2018, that it has increased production of its model Vitara Brezza to reduce waiting period. The production of SUV Vitara Brezza has increased 10% to 94,000 units during April-October 2018-19 compared to same months last year. In 2017-18, Maruti Suzuki sold over 1.48 lakh units of Vitara Brezza.

Announcing the increased production and availability of Vitara Brezza, R.S. Kalsi, Senior Executive Director (Marketing and Sales), Maruti Suzuki India said that with the Suzuki Motor Gujarat plant operational at its full capacity of 2.5 lakh units annually in Gujarat, the company is able to increase the output.

IT shares fell across the board. Tech Mahindra (down 2.9%), Wipro (down 2.59%), MphasiS (down 2.44%), HCL Technologies (down 2.2%), Infosys (down 1.64%), MindTree (down 1.45%), Persistent Systems (down 1.39%), Oracle Financial Services Software (down 1.35%), Hexaware Technologies (down 1.31%) and TCS (down 1.28%), edged lower.

Metal shares declined. Jindal Steel & Power (down 5.16%), Hindalco Industries (down 4.98%), National Aluminium Company (down 3.32%), Tata Steel (down 3.21%), Steel Authority of India (down 3.03%), Vedanta (down 2.89%), JSW Steel (down 2.2%) and Hindustan Zinc (down 1.12%), edged lower. Hindustan Copper rose 0.29%.

NMDC fell 1.39%. With reference to media report titled, "Karnataka may cancel NMDC's Donimalai mine lease in levy dispute", NMDC clarified after market hours yesterday, 19 November 2018, that the lease for NMDC Donimalai Mine has already been extended by the Karnataka State Government with effect from 4 November 2018 for a period of 20 years. Other formalities are in the process. The cabinet of Karnataka Government has approved the Mining Lease of Donimalai from 4 November 2018 for a further period of 20 years (upto 3 November 2038) on payment of 80% of the average sale value as published by IBM. A communication was also received to this effect.

Since imposition of such conditions is not as per the MMDR (Amendment) Act, 2015 read with Mineral (Mining by Government Companies) Rules, 2015 and as the same is also not economically viable, NMDC has represented the same before the Chief Minister of Karnataka. The Chief Minister of Karnataka directed all the concerned to relook into the representation given by NMDC regarding the legal and other issues raised therein. The Karnataka Cabinet has not taken any decision to cancel the Lease of Donimalai to NMDC. Pending the decision on the representation by the Karnataka Government, the production has been temporarily suspended. Hence, it is clarified that the news item appeared in the press has no impact on the company.

Pharmaceutical shares declined. Piramal Enterprises (down 3.27%), Dr Reddy's Laboratories (down 3.04%), Cadila Healthcare (down 2.55%), Wockhardt (down 2.49%), IPCA Laboratories (down 2.34%), Aurobindo Pharma (down 1.89%), Glenmark Pharmaceuticals (down 1.61%), Alkem Laboratories (down 1.55%), Divi's Laboratories (down 1.42%), Cipla (down 1.4%), Sun Pharmaceutical Industries (down 0.95%), Lupin (down 0.84%) and Strides Shasun (down 0.43%), edged lower. GlaxoSmithKline Pharmaceuticals rose 0.70%.

Alembic Pharmaceuticals rose 0.87% after the company said it received US drug regulator's approval for Vardenafil Hydrochloride orally disintegrating tablets. The announcement was made during trading hours today, 20 November 2018.

Meanwhile, the Reserve Bank of India's (RBI) Central Board met yesterday, 19 November 2018, in Mumbai and discussed the Basel regulatory capital framework, a restructuring scheme for stressed MSMEs, bank health under Prompt Corrective Action (PCA) framework and the Economic Capital Framework (ECF) of RBI. The board decided to constitute an expert committee to examine the ECF, the membership and terms of reference of which will be jointly determined by the Government of India and the RBI.

The board also advised that the RBI should consider a scheme for restructuring of stressed standard assets of MSME borrowers with aggregate credit facilities of up to Rs 25 crore, subject to such conditions as are necessary for ensuring financial stability. The board, while deciding to retain the CRAR at 9%, agreed to extend the transition period for implementing the last tranche of 0.625% under the Capital Conservation Buffer (CCB), by one year, i.e., up to 31 March 2020. With regard to banks under PCA, it was decided that the matter will be examined by the Board for Financial Supervision (BFS) of RBI.

On the political front, second phase of assembly elections with 72 seats is being held in Chhattisgarh today, 20 November 2018. Chhattisgarh held its first phase of polls on 12 November 2018 when 18 seats were contested. Assembly elections in Madhya Pradesh and Mizoram will be held on 28 November 2018. Polling in Rajasthan and Telangana will be held on 7 December 2018. Counting of votes will be held across all the five states on 11 December 2018.

In the foreign exchange market, the rupee edged higher against the dollar. The partially convertible rupee was hovering at 71.485, compared with its close of 71.67 during the previous trading session.

In the global commodities markets, Brent for January 2019 settlement was down 72 cents at $66.07 a barrel. The contract had risen 3 cents, or 0.04% to settle at $66.79 a barrel during the previous trading session.

Overseas, European stocks declined as investors keep abreast of market news and await any further developments surrounding Brexit. Asian stocks declined on pessimism about escalating trade tensions. Sentiment was impacted after news emerged that Nissan's Chairman Carlos Ghosn was arrested yesterday, over allegations concerning financial misconduct.

US stocks dropped Monday, with shares of technology and internet-related companies dragging the market lower. US financial markets will be closed Thursday for the Thanksgiving Day holiday.

On the data front, the National Association of Home Builder's monthly confidence index fell 8 points to 60 in November, the largest decline in more than four years, and the lowest overall reading in more than two.