New Delhi, Jan. 6 -- The selling spree in India's stock markets continued on Tuesday, with both benchmark indices staying in the red through the session, largely due to profit booking amid relatively subdued sentiment and caution among investors.

Sensex closed at 85,063.34 points, down 376.27 points or 0.44 per cent, while Nifty closed at 26,175.60 points, down 74.70 points or 0.28 per cent. Among the sectoral indices, Nifty Media, Oil & Gas, and Chemicals declined the most, according to NSE data. On the flip side, Nifty Pharma, IT, and PSU bank were among the top movers.

Vinod Nair, Head of Research, Geojit Investments Limited, said domestic equities experienced a correction led by large-cap stocks, with selling in heavyweights.

"The ...