Top losers are Sun Pharma, Bajaj Auto, L&T, ITC, Hero Moto.
BSE Bankex and Telecom indices led the fall.
Financials emerged as the top gainers while auto shares rallied on robust September sales
Growth in the eight core sectors jumped to 8.5% in April, due to a sharp pick-up in refinery products and a commensurate rise in electricity generation.
Among the Sensex pack, Yes Bank, L&T, HDFC, RIL, HDFC Bank, PowerGrid and Coal India were the biggest losers -- falling up to 2.43 per cent.
India must focus on reforms.
Investor sentiment got a boost following remarks from the Russian President Putin that allayed fears of an imminent military conflict in Ukraine
RBI's fifth bi-monthly monetary policy meet due tomorrow also kept the investors on their toes.
Growth concerns on China, which has already seen the yuan getting devalued twice in August, have rattled global financial markets, including that of India.
BSE Mid-cap index ended at a record closing high of 10499.86 and CNX Mid-cap index ended at a record closing high of 12672.85 levels.
Auto stocks Hero MotoCorp and Mahindra & Mahindra gained 1-2 per cent on the back of strong sales in the month of September.
The 30-share Sensex ended down 30.30 points at 28,161.72 and the 50-share Nifty dipped 7.95 points at 8,543.
The broader markets outperformed the benchmark indices- BSE Midcap and Smallcap indices gained 0.4% each
The fall came on the back of a massive selloff in NBFCs, led by DHFL which skidded over 50 per cent on fears of a liquidity crisis.
Index heavyweights Reliance Industries and ITC were the top losers along with ICICI Bank and SBI
The 30-share Sensex ended down 414 points at 25,481 and the 50-share Nifty slipped 119 points at 7,603.
Markets will be closed on Thursday and Friday on account of Holi and Good Friday, respectively.
Sesnsex ended the day flat on heavy selling pressure.
BSE Midcap index outperformed the benchmark indices to end with 0.4% gains.
Sensex gained over 100 points and ended at 26147.33 while the Nifty ended 27 points higher at 7,795.75.
The 30-share Sensex closed down 115 points at 28,444 and the 50-share Nifty ended down 31 points at 8,524.