New Delhi, Dec 20 (IANS): The Indian equity indices - S&P BSE Sensex and NSE Nifty50 - settled sharply low on Monday, declining in six out of past seven sessions amid heavy continued sell-offs.

The indices traded sharply lower all through the session on Monday. The Sensex and Nifty settled at 55,822 points and 16,614 points, down 2.1 per cent and 2.2 per cent from their previous close, respectively.

In the past one month period, both the indices shed around five percentage points.

All sectoral indices declined sharply during Monday's trade. Among all, Nifty media, metal, PSU banks, realty, and oil and gas fell the most.

Among the stocks, BPCL, Tata Motors, Tata Steel, Indusind Bank, and Bajaj Finance were some of the top losers, NSE data showed, declining 6.5 per cent, 5.2 per cent, 5.2 per cent, 4.0 Aper cent, 3.9 per cent, respectively.

Bucking the trend in the benchmark indices on Monday, Cipla, Hindustan Unilever, and Dr Reddy's were some of the gainers, up 3.7 per cent, 1.8 per cent, and 0.95 per cent, respectively.

"India has been undergoing a phase of consolidation in the last two months. Currently sell-off is due to rapid rise in FIIs selling triggered by hawkish world central banks' policy, cautious view on Indian market due to high valuation compared to peers and drop in retail inflows," Geojit Financial Services' Head of Research Vinod Nair said.

"We feel that we are reaching the last phase of this consolidation in terms of price correction. Some pockets have become fair, however the overall market is still trading at the upper-hand which will continue to affect the performance of the broad market, in the short-term."

Long-term investors can chip into high quality stocks with a focus on defensives and India focused businesses, Nair added.