Last Updated on February 24, 2026 9:54 pm by BIZNAMA NEWS
IT Meltdown Rocks Dalal Street; ₹4 Lakh Crore Wealth Wiped Out
Our Correspondent
Benchmark domestic equity indices, the Sensex and the Nifty, plunged around 1.2 per cent today as IT stocks extended their rout amid persistent concerns over artificial intelligence-led disruptions. The Sensex tanked 1 thousand and 69 points to close at 82 thousand 226, while the Nifty slipped 288 points to settle at 25 thousand 425. Earlier, the markets opened under selling pressure, tracking sharp declines in the US markets. The sell-off intensified in the afternoon trade, led by a fall in technology shares and volatility amid the monthly expiry of Futures and Options contracts of Nifty.
In the Sensex pack, 22 out of 30 companies registered a downward move. Among the top laggards, Tech Mahindra sank 6.6 per cent, HCL Tech slipped 6.1 per cent, and Eternal dropped nearly 5.3 per cent. Among the top performers, NTPC surged over 1.9 per cent, HUL gained 0.9 per cent, and Tata Steel rose over half a per cent.
Among the sectoral indices at BSE, 12 out of 24 sectors logged losses except Consumer Durables, which remained unchanged. The technology pack was the epicentre of the massive fall, with the focused IT tumbling 4.8 per cent and IT declining over four and a half per cent, emerging as the worst-performing sectoral gauge. Meanwhile, Realty dropped 2.6 per cent. Among the top gainers, Power jumped over one per cent, Metal rose one per cent, and Utilities climbed 0.9 per cent.
The overall market breadth at the BSE was negative, as shares of 2 thousand and 802 companies declined, 1 thousand and 422 advanced, and 143 remained unchanged.
Sector-Wise Market Action
Information Technology: Worst Hit
The IT pack bore the brunt of selling pressure following concerns over AI-led disruption. Fears intensified after Anthropic unveiled its “Claude Code” tool, raising doubts over the long-term sustainability of the traditional outsourcing model. Global cues worsened after U.S. President Donald Trump renewed tariff threats.
Heavyweights and tech-linked stocks faced sharp corrections, dragging broader sentiment lower.
Banking & Financials: Mixed Trends
IDFC First Bank gained 1.31% despite disclosing a ₹590-crore fraud at a branch, clarifying that volatility was temporary. However, overall financial stocks traded cautiously amid global uncertainty.
Metals & FMCG: Defensive Support
Defensive buying was visible in metals and FMCG stocks, which managed to stay in positive territory, cushioning the fall.
Infrastructure & Capital Goods
Larsen & Toubro declined 3.51% despite securing a significant Department of Atomic Energy order for the LIGO India Observatory. Meanwhile, Brahmaputra Infrastructure hit a 5% upper circuit after emerging as the lowest bidder for a national highway project.
Energy & Renewables
Waaree Energies rallied 3.68% after winning a 500 MW solar module order, signaling continued strength in renewable energy plays.
Broader Markets & Volatility
The S&P BSE Mid-Cap index slipped 0.21%, while the Small-Cap index rose 0.51%. Market breadth remained negative.
India VIX eased 1.35% to 14.17, indicating controlled volatility despite sharp intraday swings.
Key Economic Indicators
- India’s 10-year bond yield fell to 6.670%.
- Rupee hovered at 90.94 per dollar.
- MCX Gold declined 0.48% to ₹1,60,810.
- Brent crude edged up to $71.65 per barrel.
Global Cues Weigh Heavy
Overnight, Wall Street tumbled sharply, with the Dow Jones falling 821 points amid AI disruption fears. Asian markets ended mixed, while European equities declined as investors reacted to renewed U.S. tariff rhetoric and steady Chinese lending rates.
Market Outlook
Analysts say AI-driven structural shifts, global trade tensions and crude price movement will remain key drivers. While defensive sectors may offer stability, technology stocks could continue facing valuation pressure in the near term.
