Stock Market Falling: IT Index Extends Losing Streak
The IT index is not just slipping – it stands at risk of a complete decline. The sector experienced its third consecutive day of losses on February 13, dropping 5% as investors grew worried that AI would take over conventional tech roles. The stock had already decreased by 5.5% a day earlier, which proved how fast the market atmosphere turned negative.
The 10-stock Nifty IT index dropped 4.75% again, bringing total weekly losses to 10.8%, making it the worst week since March 2020. The index has declined by 17.5% so far in 2026. The current situation shows rising investor anxiety as AI developments create real concerns, putting extreme pressure on the IT sector.
Global Cues Adding To Pressure On Indian Stock Market Today
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Wall Street hit the brakes, with the tech-heavy Nasdaq Composite sliding over 2% ahead of crucial US inflation data.
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Investors are on edge, knowing that one inflation number could change the entire interest rate outlook.
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Stronger-than-expected US jobs data has cooled hopes of quick rate cuts.
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“Higher for longer” rate fears are now the market’s new worry word.
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The result? Tech stocks globally are feeling the heat as uncertainty keeps traders guessing.
Key Event Triggering For Stock Market: The ‘Anthropic Shock’ Sparks IT Sell-Off
The current stock market turmoil in the IT sector can be traced back to February 4, when US-based AI firm Anthropic unveiled advanced workplace productivity and legal automation tools. The announcement created a major trigger, renewing concerns that artificial intelligence could reduce the need for traditional headcount-based outsourcing, which forms the backbone of Indian IT services.
Anxiety increased further when companies like Palantir claimed their AI technology could complete large ERP migrations much faster than before. The message was clear: even high-value and complex technology contracts may no longer be safe from disruption.
Heavyweights IT Giant sell-off Lead The Fall
| Company | Decline (%) | Key Highlight |
|---|---|---|
| TCS | 4.88% | Touched 52-week low of ₹2,579 |
| Infosys | 6.28% | Fell to ₹1,296.60; sharp intraday decline |
| HCLTech | 4.66% | Among major drags on the index |
| Wipro | Sharp Loss | Broad-based selling pressure |
| Tech Mahindra | Sharp Loss | Continued weakness in IT pack |
The decline reflects widespread selling across large- and mid-cap IT stocks.
Stock Market Outlook: What Should Investor Know Before Panic sell-off
According to me, and after doing a bit of research, investors should take a moment to relax. The stock market is currently showing temporary instability and negative sentiment. To be honest, this phase of transformation could lead to something significant. It is during such periods that we truly see how the market corrects itself after a fall in a specific sector.
The decline we see today is driven by two forces: panic selling and a broader market correction. Meanwhile, the IT industry is setting new operational standards shaped by artificial intelligence technologies. Companies may need to transform the business models that powered their growth for decades. The key question now is simple: who will adapt the fastest and most effectively?
Markets often fluctuate sharply before stabilising. So don’t just watch the fall- watch the transformation. Keep an eye on US tech earnings and AI monetisation trends, as they may reveal tomorrow’s industry leaders.
(With Inputs)
Also Read: Why Is Stock Market Down Today? IT Heavyweights Drag Sensex, ₹2.5 Lakh Crore Wealth Wiped Out