On Wednesday, shares of several smallcap and midcap companies experienced significant declines as broader markets faced a sharp downturn. The Nifty Midcap 100 index fell by 1.6% (approximately 950 points), while the Nifty Smallcap 100 index dropped 1.4% (around 254 points). Major contributors to this decline included Coforge and Persistent Systems, both of which saw their shares plummet over 6% amid a broader selloff in IT stocks. The Nifty IT index itself tumbled around 6% after a previous surge, with heavyweights like TCS and Infosys witnessing declines of nearly 10%. Additionally, Physicswallah emerged as the top smallcap loser, with its shares dropping nearly 6%, contributing to an 18% decline over the past week. The market's downturn is attributed to foreign institutional investor selling, a weakening rupee, and escalating geopolitical tensions affecting oil prices. Analysts are closely monitoring the Reserve Bank of India's actions and commentary for further market direction.