Equity benchmarks Sensex and Nifty tanked around 1 per cent on Wednesday due to sharp losses mainly in IT, banking and FMCG shares following a global rout in equities on rate hike worries.

The 30-share BSE Sensex declined by 656.04 points or 1.08 per cent to close at 60,098.82, with 23 of its constituents ending in the red.

The broader NSE Nifty plunged by 174.65 points or 0.96 per cent to close at 17,938.40 points as 35 of its stocks closed with losses.

Infosys fell the most among Sensex stocks, declining by 2.85 per cent. Among other IT stocks, TCS fell by 1.87 per cent, Wipro by 1.52 per cent, and HCL Tech by 1.70 per cent.

Asian Paints by 2.71 per cent, HUL declined by 2.41 per cent, Bajaj Finance by 2.07 per cent, and Kotak Bank by 1.86 per cent.

Foreign investors remained net sellers in the Indian equity markets as they offloaded stocks worth Rs 1,254.95 crore on Tuesday, according to stock exchange data.

Asian stock markets declined in cautious trading with Tokyo's Nikkei 225 plunging nearly 3 per cent following losses on Wall Street.

Australia's S&P/ASX 200 fell 1 per cent to 7,332.50. South Korea's Kospi declined 0.8 per cent, the Shanghai Composite lost 0.3 per cent to 3,558.18. Hong Kong's Hang Seng inched up.