Indian equities plummeted Monday with investors resorting to large-scale profit booking ahead of the new year, which resulted in a key share market index dipping 171.02 points or 1.85 percent.

The big drop in the sensitive index (Sensex) of the Bombay Stock Exchange (BSE) followed another fall of over 100 points Friday as bear operators took charge of the markets, resulting in 27 of the 30 shares comprising the index taking a hit.

The Sensex opened on a bearish note, marginally lower at 9,254.09 points compared with the previous trading day's close at 9,256.91 points, but managed to move up slightly to the day's high of 9,262.48 points soon after.

But then onwards the key index began to lose ground and dipped to the day's low of 9,050.51 points, before ending the day at 9,085.89 points, to log the second straight day of losses of over 100 points.

"Apart from the caution ahead of the new year, investors preferred to be on the sidelines before the expiry of the monthly derivatives contract Thursday," said an analyst with a leading brokerage here.

"As a result, any revival of buying interest may have to wait for the new year, before which the markets could also take a further beating," the analyst said.

The three shares among the 30-share Sensex that managed to buck the trend were led by Larsen and Toubro, up 0.37 percent at Rs.1,754.30, followed by Cipla (0.05 percent at Rs.430.50) and Tata Steel (0.03 percent at Rs.368.80).

Bharti Televentures led the losers down 5.21 percent at Rs.333.20, followed by Gujarat Ambuja Cement (4.71 percent at Rs.76.90), Tata Power (3.75 percent at Rs.419.45) and ICICI Bank (3.66 percent at Rs.559.65).