Bearish sentiments led the barometer 30-scrip sensitive index (Sensex) of the S&P Bombay Stock Exchange (BSE) to trade lower by 62 points during the afternoon trade session.

The S&P BSE consumer durables augmented by 122.24 points, bank index gained by 109.31 points and metal index rose by 101.82 points.

The wider 50-scrip Nifty of the National Stock Exchange (NSE) also plummeted 70.80 points or 0.83 percent and was trading at 8,447.75 points. It fell by 23 points or 0.27 percent at 8,454.55 points.

Earlier in the day, bourses had opened flat before plunging deep into red following heavy profit-taking by market participants and kept on sliding lower as the session progressed.

Traders will be reacting to report that India’s merchandise exports contracted for the eighth month running in July, registering a 10.3 per cent drop over last year.

“The devaluation of yuan is a sign that the currency wars have started at a time when the world economy is stalling, commodities prices are falling and the Chinese markets are bleeding”, Anand James, co-head, technical research desk, Geojit BNP Paribas, told IANS.

M&M was down 1.2% after the corporate reported marginal decline in internet revenue for April-June 2015 quarter Weighed down by lack of latest merchandise in the passenger vehicle area and drastic fall in demand for tractors.

As the investors resorted to profit booking, Sensex today closed with a loss of 189 points as oil and banking shares witnessed selling pressure. “Investors were seen reluctant to chase higher prices due to uncertain international markets and no new triggers”, James added. Rupee devalued around 5 percent as the People’s Bank of China has let yuan fall by 4.6 percent since August 11.

Asian shares are trading mixed even as the dust settled on depreciation of the Chinese currency.

Among other Asian markets, Hong Kong’s Hang Seng was up 0.15 per cent and Shanghai Composite index rose 0.68 per cent while Japan’s Nikkei shed 0.37 per cent in early trade on Friday. France’s CAC 40 index gained 0.6 percent, while the U.K.’s FTSE 100 ended little changed with a negative bias and the German DAX shed 0.4 percent.