The BSE Sensex plunged around 262 points to end at a two-week low of 35,286.74 on Tuesday, tracking a sell-off across Asian and European markets after the US and China escalated their trade dispute. The 30-share barometer opened positive but soon fell on widespread selling. It finally settled at 35,286.74, down 261.52 points, or 0.74 per cent. This is its lowest closing since June 6, when it had ended at 35,178.88. It had lost 73.88 points in yesterday's session.

The NSE Nifty ended 89.40 points, or 0.83 per cent, lower at 10,710.45. Foreign portfolio investors (FPIs) sold shares worth a net Rs 754.43 crore, while domestic institutional investors (DIIs) picked up shares worth Rs 824.10 crore yesterday, as per provisional data.

Investor sentiment suffered a jolt following a sell-off in global markets after US President Donald Trump threatened to impose additional tariffs on Chinese goods, which Beijing vowed to retaliate.