Sensex down 800 points, Nifty below 25,550: One of the main causes of the market loss is the IT sell-off.
Friday saw a 1% decline in the key indices, the Sensex and Nifty, due to ongoing selling in IT stocks. Investor sentiment was also damaged by weak global cues. Around 9:45 a.m., the broader Nifty fell to 25,546.40, down 260.80 points, or 1.01 percent, while the Sensex was down 844.58 points, or 1.01 percent, at 82,830.34. The main causes of the market fall 1) Sharp selling in IT stocks: On February 13, the IT index dropped a staggering 5% for the third consecutive session due to growing concerns that AI-driven automation might upend the labor-intensive business model of Indian IT. On February 12, it fell 5.5%. 2) Weak global cues: As worries about AI's ability to upend business paradigms grew, major tech names saw a steep decline. As investors reevaluated their expectations for profits, software, real estate, and logistics sectors were under intense selling pressure, and the Nasdaq fell 2.03%. 3) Growth in India Vix: Indicating elevated risks, the volatility index also increased ...
