Sensex, Nifty remain under pressure; Tata Motors drags 2%

Moneycontrol Bureau11:30 am Monsoon check: India's monsoon rainfall deficit has widened to 10 percent as a strengthening El Nino weather pattern trimmed rainfall, the weather department said, raising fears of the first drought in six years. The June-September monsoon rains determine farmers' earnings as more than half of farm land lacks irrigation. Though agriculture accounts for about 15 percent of India's USD 2 trillion economy, three-fifths of its 1.25 billion people depend on it for their livelihood.Don't miss: Recapitalization, Bank Board 'heartening moves': SBI chief

It is a volatile start to this week with the Nifty slipping below 8500. The 50-share index is down 69.65 points or 0.8 percent at 8448.90. The Sensex is down 280.73 points or 1 percent at 27786.58. About 683 shares have advanced, 1072 shares declined, and 95 shares are unchanged.

SBI, Coal India and Tata Steel are top gainers in the Sensex while Cipla, Vedanta, Hindalco, ONGC and Tata Motors are among losers.Oil prices resumed their decline in Asia as a global glut of crude supplies showed no signs of abating in the face of sluggish demand, analysts said. Oil came under renewed pressure in Asia after the latest data showing the number of rigs drilling for US oil increased last week, the sixth rise in seven weeks, analysts said.

The news added to fears of a prolonged global surplus as output from the Organization of the Petroleum Exporting Countries and the US remains robust despite the tumbling prices.