Indian stock markets tanked on Monday based on global cues and reports of rising trade tensions between the US and China. The Bombay Stock Exchange index Sensex fell more than 400 points in opening trade, while the broader Nifty 50 also slipped below 11,450 points.

The slide happened amid reports that the US could announce a new round of tariffs on Chinese imports, setting the stage for possible reprisals by Beijing. In addition, a weak rupee also affected market sentiment. It depreciated 81 paise to 72.65 against the US dollar in early trade on Monday.

Banking stocks such as HDFC Bank, State Bank of India, YES Bank and Axis Bank were trading lower in the range of 1% to 2% in early trade.

Investor sentiment may take a hit as global financial-services company Goldman Sachs said India’s world-beating stock-market run is over. It has downgraded domestic stocks to the equivalent of a “hold” rating from “buy.” This is the first time it has lowered Indian stocks since 2014, Business Standard reports.

The Indian government had on Friday outlined a series of measures aimed at stemming a steep decline in the rupee. These include cutting down “non-necessary” imports, easing overseas borrowing norms for the manufacturing sector, and relaxing rules around banks raising rupee-denominated overseas bonds.