The stock market experienced significant declines as selling pressure increased. The Sensex fell by 687 points, or 0.85%, to 79,370, while the Nifty dropped 261 points, or 1.07%, to 24,138.25. This marks the fifth consecutive session of losses.

Lackluster earnings reports and persistent foreign institutional investor (FII) outflows have contributed to this decline. In October, FIIs sold equities worth Rs 5,062 crore, adding to a total of nearly Rs 1 lakh crore in sales for the month. This selling is attributed to global uncertainties, such as tensions in the Middle East and a shift in emerging market investment flows towards China.

Concerns over urban consumption and demand growth have also impacted market sentiment, making investors cautious about potential short-term downturns.

• The midcap index has entered correction territory, down over 10% from recent highs.

These factors have led to a cautious outlook in the market, with investors being wary of potential short-term downturns.