The trends on Gift Nifty also indicate a negative start for the Indian benchmark index. The Gift Nifty was trading around 23,325 level, a discount of nearly 52 points from the Nifty futures’ previous close.

The BSE Sensex fell 423.49 points or 0.55 per cent, closing at 76,619.33, after dropping as low as 76,263.29 during the trading session. The NSE Nifty ended lower by 108.60 points or 0.47 per cent at 23,

The Indian market ended lower, breaking a three-day winning streak, with the Nifty closing around 23,200. This decline was driven by selling in IT and banking stocks, despite strong quarterly results from sector heavyweights Infosys and Axis Bank for the December quarter.

Investors were also keeping high hopes from quarterly earnings of heavyweights Reliance Industries Ltd, Infosys Ltd and Axis Bank Ltd scheduled for later in the day.

Indian stock markets declined due to drops in IT and banking stocks, with Infosys and Axis Bank reporting disappointing results. Other factors include concerns over US policy changes ahead of Donald Trump's inauguration,

The fall in IT stocks was a result of Infosys' shares falling over 5.3% after the company reported its Q3 results yesterday. The drop, however, came as a surprise as the company raised its revenue forecast.

Sensex and Nifty rose for the second straight session on Wednesday, as dollar edged lower and 10-year US bond yields declined ahead of inflation data in the US.  Crude oil prices fell, but stayed above $80 a barrel mark.

Indian equity benchmarks, BSE Sensex and Nifty50, saw a sharp decline in opening trade on Friday. BSE Sensex fell over 450 points, while Nifty50 dropped below 23,200. At 10 am, the Sensex dropped by 363.