India, May 29 -- After trading for hours in the green, benchmarks Sensex and Nifty plunged sharply at around 3 pm, falling from the day's high due to several reasons, including global uncertainty and weak monsoon projection.

The Sensex dropped by 1092 points, while the Nifty fell by 359 points. Energy stocks, including ONGC, NTPC, BPCL and Indian Oil (IOCL) remained the biggest laggards.

While several factors, including FFI outflows, weaker monsoon projection, uncertainty over US-Iran peace deal dominated the fall, one of the key reasons was MSCI's May index rejig, that came into effect today.

The losses swelled by 850 points around 10 minutes before closing on Friday as the global index provider added four Indian stocks and removed fo...