The mkts ended in deep red as profit booking set in during the final hours of trade. Sensex closed at 10,509.53 down 258 pts.
Canadian authorities said they had foiled terror bids plans with the arrests of 17 people "inspired by al-Qaeda."
Jet Airways, Spice Jet and other airlines have already announced their decision to increase the levels of fuel surcharge.
Nepal's new Prime Minister Girija Prasad Koirala conferred with top political leaders on choosing a Cabinet.
Representatives from fan groups for FIFA 2006 are urging authorities not to fear the any form of hooliganism, say things in control.