Sensex and Nifty Tumble Over 1% as IT Stocks Trigger Broad Market Sell-Off

Indian equity markets witnessed a sharp decline in the latest trading session, with benchmark indices falling more than 1% as weak global sentiment and heavy selling in information technology stocks weighed on investor confidence.

The BSE Sensex plunged as much as 1,011.56 points during intraday trade before closing 893.39 points lower at 76,200.68. Similarly, the NSE Nifty 50 dropped 278.80 points to settle at 23,824.10.

The decline came despite a strong performance in the previous week, during which markets had advanced in four out of five trading sessions. Market participants attributed the sell-off primarily to weakness in technology stocks and negative cues from global markets.

Among the major losers on the Sensex were Infosys and Tata Consultancy Services (TCS), both of which declined by more than 3%. Other notable laggards included Bharat Electronics, Tata Steel, Adani Ports, HCL Technologies, and State Bank of India.

On the positive side, Power Grid Corporation, Axis Bank, Sun Pharma, and Maruti Suzuki managed to end the session with gains, offering limited support to the broader market.

The weakness extended beyond large-cap stocks, with the Nifty Midcap 100 Index declining 0.75% and the Nifty Smallcap Index falling 0.6%, reflecting broad-based selling pressure across market segments.

According to exchange data, Foreign Institutional Investors (FIIs) were net sellers on Monday, offloading equities worth ₹635.91 crore. Continued foreign selling added to the pressure on domestic markets.

Asian markets also witnessed significant declines. South Korea’s Kospi, Japan’s Nikkei 225, China’s Shanghai SSE Composite Index, and Hong Kong’s Hang Seng Index all ended in negative territory. European markets were also trading lower, reflecting widespread risk aversion among global investors.

Market analysts noted that the information technology sector was the biggest contributor to the decline, with the sector index falling more than 2%. Concerns over global technology demand and broader market weakness triggered aggressive selling in leading IT companies.

Meanwhile, global Brent crude oil prices eased by 0.67% to $77.46 per barrel, providing some relief for energy-importing economies such as India.

In the foreign exchange market, the Indian rupee weakened further against the US dollar. The domestic currency closed 11 paise lower at ₹94.74 per dollar, compared to the previous close of ₹94.63.

The rupee opened at ₹94.73 and traded within a range of ₹94.63 to ₹94.92 during the session. Currency traders cited the strength of the US dollar and weakness in domestic equity markets as the primary factors behind the rupee's decline.

With global market volatility persisting and technology stocks remaining under pressure, investors are expected to closely monitor international developments, foreign fund flows, and corporate earnings for further market direction in the coming sessions.