The BSE Sensex fell 1.15 percent on Tuesday as prominent stocks continued their slide on concerns of foreign fund outflows.
The 30-share benchmark index ended 211.30 points lower at 18,226.48 with 23 of its components closing in the red.
The broader 50-share National Stock Exchange (NSE) Nifty index ended 0.86 percent or 47.85 points lower at 5,495.10 on Tuesday.
Investors were worried about foreign funds selling their holdings in Indian markets amid concerns of lacklustre quarterly earnings.
Meanwhile in the bullion market, gold fell by Rs 190 to Rs 29,800 per 10 grams while silver held steady at Rs 52,200 per kg.