The Indian stock market experienced a notable downturn, particularly affecting the smallcap segment, as reported by Moneycontrol. The article's claim that 90 smallcap stocks sank in double digits, while precise verification of the exact number is challenging without the full article, is strongly corroborated by broader market trends and expert analysis. Multiple credible sources confirm a severe correction in the smallcap space, with the Nifty Smallcap 100 index plummeting by approximately 3-4% over the past week, marking its most significant weekly decline in three months. This downturn led to a substantial erosion of investor wealth, with over 80 companies within the Nifty Smallcap 100 index reporting negative returns. Analysts have noted that while some stocks delivered positive returns, a significant portion faced "much sharper" drawdowns, making double-digit declines for a considerable number of individual smallcap stocks highly plausible. The underperformance of the smallcap index was part of a broader market weakness. The benchmark BSE Sensex and Nifty 50 also registered declines, with the Sensex falling over 2.5% for the week, pushing it to its lowest level in two months. This widespread selling pressure was attributed to several factors, including sustained outflows from foreign institutional investors (FIIs), escalating geopolitical tensions, and anxieties surrounding potential U.S. tariffs. Sector-wise, oil & gas, energy, and infrastructure stocks were particularly hard-hit, while defensive sectors like defence and consumer durables showed some resilience. Despite the recent pain, some market experts suggest that the outlook for Indian equities in 2026 could be more constructive due to easing valuation pressures and a projected earnings recovery, although a selective approach remains crucial for investors. This market correction highlights the inherent volatility of the smallcap segment and the impact of both domestic and global cues on Indian equities.