Indian Stock Market, Jan. 27 -- Small-cap stocks continued to face heavy selling pressure for the second straight trading day on Monday, January 27, with the majority of stocks registering losses between 5% and 13% as investors are reacting negatively to the weak earnings reported by companies so far for the December quarter, as they have failed to justify the premium valuations these stocks had been trading at.

In addition, sustained selling by foreign portfolio investors (FPIs) is weighing heavily on the markets, resulting in sharp cuts across the board. In today's session, the Nifty Smallcap 100 index tumbled another 4.60% to 16,178, the lowest level since mid-June.

Today's drop was also the biggest intraday decline since August 2024...