AI as a Catalyst, IT Stocks Fall

Fears surrounding AI rattled the IT sector. Trump’s tariff onslaught, rising crude oil prices, and weak global cues combined to deal a heavy blow to the Sensex and Nifty during today’s F&O closing trade.

Following the Haryana government’s clarification that it had recovered ₹556 crore of the ₹590 crore fraud, IDFC First Bank’s shares turning positive was particularly noteworthy.

Both indices fell by around 1% due to the IT sell-off, with losses widening to nearly 1.5% at times. The Nifty IT index dropped by more than 3% at one point.

HCL Technologies, Infosys, and Eternal fell by up to 4%, delivering a major blow to the Nifty, as all three carry significant weight in the index.TCS also traded lower.

All sectoral indices ended in the red. After IT, the Realty and Auto sectors also declined. At the F&O close, traders either square off their positions or roll them over, often leading to heightened volatility. With the new settlement cycle starting tomorrow, the market will reveal how the next phase unfolds.