Mumbai, Jan 13 (PTI) Equity benchmark indices Sensex and Nifty ended lower on Tuesday after a day's breather, tracking unabated foreign fund outflows and selling in blue-chip stocks amid global tariff-related concerns.

Market sentiment was also sluggish due to a weak start to the earnings season, according to traders.

In a volatile trade, the 30-share BSE Sensex dropped 250.48 points, or 0.30 per cent, to settle at 83,627.69. During the day, it declined 615.38 points, or 0.73 per cent, to 83,262.79.

The 50-share NSE Nifty edged lower by 57.95 points or 0.22 per cent to 25,732.30.

From the 30-Sensex firms, Trent, Larsen & Toubro, Reliance Industries, InterGlobe Aviation, Maruti, ITC, Adani Ports and Bharat Electronics were among the biggest laggards.

In contrast, Eternal, ICICI Bank, Tech Mahindra, State Bank of India and Tata Consultancy Services were among the gainers.

The country's largest IT services exporter TCS on Monday reported a 13.91 per cent drop in December quarter profit at Rs 10,657 crore, majorly on a one-time impact of new labour codes.

Meanwhile, retail inflation rose to a three-month high of 1.33 per cent in December, mainly due to higher prices of food items, but remained below the Reserve Bank of India's lower tolerance level.

Foreign institutional investors offloaded equities worth Rs 3,638.40 crore on Monday, while Domestic Institutional Investors (DIIs) bought stocks worth Rs 5,839.32 crore, according to exchange data.

US President Donald Trump announced that any country “doing business" with Iran will have to pay a 25 per cent tariff on its trade with Washington, a move that could impact Tehran’s major trading partners such as India, China and the UAE.

"Effective immediately, any country doing business with the Islamic Republic of Iran will pay a Tariff of 25 per cent on any and all business being done with the United States of America. This order is final and conclusive," Trump said in a post on Truth Social Monday.

"Indian equity markets witnessed sharp intra-day volatility on weekly expiry, with early gains giving way to profit-booking as the session progressed. The initial optimism was tempered by global tariff-related concerns, mixed reactions to Q3 earnings, and the usual expiry-driven swings," Ponmudi R, CEO of Enrich Money, an online trading and wealth tech firm, said.

In Asian markets, South Korea's Kospi index, Japan's Nikkei 225 index and Hong Kong's Hang Seng index ended higher, while Shanghai's SSE Composite index settled lower. The Nikkei 225 index surged over 3 per cent.

Markets in Europe were trading on a mixed note.

US markets ended in positive territory on Monday.

Brent crude, the global oil benchmark, jumped 1.86 per cent to USD 65.06 per barrel.

On Monday, the Sensex climbed 301.93 points or 0.36 per cent to settle at 83,878.17. The Nifty edged higher by 106.95 points or 0.42 per cent to 25,790.25. PTI SUM SUM BAL BAL BAL

Tariff announcement sparks foreign fund outflows and blue-chip selling, causing benchmark indices to end lower. An immediate 25 per cent tariff on countries doing business with Iran was announced, creating broad extraterritorial trade-policy uncertainty. Markets reacted with risk-off behaviour: benchmark indices fell amid significant foreign institutional outflows and concentrated selling in large-cap stocks, while domestic institutional buying partially offset net foreign sales. Corporate earnings weakness and a rise in retail inflation contributed to volatility and weaker investor sentiment.