Nifty IT crashes over 2%; HCL, Infosys lead fall

Nifty IT crashes over 2%; HCL, Infosys lead fall

The Nifty IT index, a key indicator of India's information technology sector, has witnessed a major crash today.

The index fell by over 2%, making it the worst-performing sectoral index on the market.

This decline comes in the wake of global tech stock weakness and rising fears over artificial intelligence's potential impact on growth prospects for IT services companies.

Nifty IT index was trading at 27,595

At the time of writing, the Nifty IT index was trading at 27,595 after a fall of 2.4%.

The sector has notably underperformed against the benchmark Nifty 50 index which was down by only 0.5% at 23,099 points.

Major tech stocks such as HCL Technologies and Infosys have been among those leading this decline with their shares falling by up to 3.5%.

AI fears weigh on major players in the sector

The fears surrounding artificial intelligence's impact on growth prospects for IT services companies have weighed heavily on major players in the sector.

HCL Technologies was the biggest drag on the benchmark index, falling 3.5%.

Infosys and Tech Mahindra also saw their shares decline by 2.5% and 1.4%, respectively.

Wipro and Tata Consultancy Services (TCS) weren't spared either with their shares falling between 1.4% to 2% today alone.