Sensex, Nifty fall 1% as IT sell-off deepens (2026)

Market opens weak on Friday risk-off mood

Domestic benchmarks opened under pressure on Friday, with both the Nifty 50 and BSE Sensex sliding sharply amid weak global cues and a risk-off tone. The Nifty 50 was quoted at 25,571.15, down 236.05 points or 0.91%. The Sensex opened at 82,902.73, lower by 772.19 points or 0.92%. The early weakness was linked mainly to global equity declines, especially in technology. Market participants also pointed to caution ahead of upcoming US CPI data. The broader tone suggested investors were reducing exposure rather than taking directional bets.

What experts flagged in early trade

Ajay Bagga, Banking and Market Expert, told ANI that Indian futures were indicating another cut in the leading indices as global risk-off sentiment carried over into Asia. He said that across Asia, the key theme was broad equity declines as US risk-off sentiment impacted regional markets. He also flagged that tech sector weakness was dominating sector performance, amplified by AI valuation repricing and disruption threats. In his assessment, this dynamic was driving selling pressure in SaaS stocks. The comments aligned with the visible stress in Indian IT counters during the session described by ANI. The market backdrop, in short, was being shaped more by global positioning than domestic news flow.

IT stocks in focus amid global tech weakness

IT stocks came under sharp pressure in the session highlighted by ANI, with the NSE’s Nifty IT index plunging 5.51% and emerging as the worst-performing sector at that point. The article linked the decline to global tech weakness, AI valuation repricing, and concerns about AI-led disruption in SaaS companies. The sensitivity is structural: Indian IT performance often tracks shifts in US tech sentiment because of exposure to American clients. When US tech turns cautious, risk appetite can weaken across emerging-market equities as well. This theme recurred across multiple updates in the provided material. The result was a clear drag on headline indices.

Broader market also slips as selling widens

The weakness was not limited to frontline indices. On the National Stock Exchange, the Nifty 100 was down 0.54%, the Nifty Midcap 100 fell 0.47%, and the Nifty Smallcap 100 dropped 0.64%. Another update also noted small- and mid-cap pressure on the BSE, with the BSE SmallCap Select Index at 7,753.19, down 37.92 points or 0.49%, and the BSE 150 MidCap Index at 16,107.71, down 76.13 points or 0.47%. These moves reinforced that the selling was broad-based rather than confined to one pocket of the market. Sectoral leadership, however, remained centred on IT due to the global trigger.

Feb 13: sharp fall extends from open to close

A separate ANI update described a steep decline on Friday, February 13, when the market closed in the red after a highly volatile session. Sensex ended down 1.25%, or 1,048 points, at 82,626.76, while Nifty 50 dropped 1.30% or 336 points to 25,471.10. The same update noted that at opening on that day, Nifty was at 25,571.15 (down 0.91%) and Sensex at 82,902.73 (down 0.92%). It also said Nifty IT fell for a third straight session and was down about 5% amid fears of AI-driven automation, while at the time of the close it was down 1.44%. Vinod Nair of Geojit Investments said markets were weighed down by weak global cues ahead of US inflation data and that renewed AI-driven disruption fears were hitting risk appetite, particularly for IT firms reliant on labour arbitrage. The same commentary said the cautious tone extended across the broader market, pulling major indices into negative territory.

Feb 27: mixed signals as IT turns green in early trade

Another market update, marked “Updated on February 27, 2026, 09:59 IST,” described the market opening in the red, as indicated by GIFT NIFTY futures. At the time of writing in that update, Nifty 50 was trading at 25,413.10, down 83.45 points or 0.33%. Sensex was at 81,992.39, down 256.22 points or 0.31%, after slipping over 300 points in early deals. The same update also reported a split within the tape: Infosys was up over 2% and other IT names such as HCLTech, TCS and Tech Mahindra were trading in the green. It added that the Nifty IT index was trading over 1% higher, with all 10 constituents in green at that point. This contrast showed how quickly sector leadership can rotate amid volatile sentiment.

Key index snapshots mentioned in the updates

The provided text included multiple snapshots of index levels and changes from different moments and updates. The table below lists the numbers exactly as cited.

Other market datapoints: sector moves, rupee, and technical markers

One market snapshot table in the material also showed NIFTY IT at 30,551.80, down 1,177.30 or 3.71%, alongside NIFTY BANK at 57,093.75, down 277.70 or 0.48%. Another technical comment from Vatsal Bhuva of LKP Securities said Bank Nifty slipped below a short-term consolidation range, while still trading above its 20-day moving average near 59,700, which he termed a crucial short-term support. On currencies, Jateen Trivedi of LKP Securities said the rupee was slightly weak by Rs 0.06 at Rs 90.61 versus the dollar, while the dollar index was flat near 97.00. He added immediate support was near Rs 90.90 and resistance around Rs 90.25. These details pointed to a cautious but not disorderly macro backdrop, with equity risk driven more by global tech sentiment.

Why this matters for investors tracking Indian IT

Across the updates, the common driver was the interaction between global tech moves and Indian IT pricing. Several passages referred to AI-led disruption fears and valuation repricing as a direct catalyst for sell-offs, while also highlighting sessions where IT rebounded even as benchmarks stayed weak. A separate note in the material said some industry leaders viewed the sharp correction as an “overreaction,” citing ITC chairman and managing director Sanjiv Puri’s comment. Meanwhile, other commentary stressed that investors were monitoring global cues and US CPI data for direction. Taken together, February’s tape showed high sensitivity to offshore signals, especially from US technology markets.

Conclusion

The provided updates show Indian equities moving lower on weak global cues, with IT acting as both the key pressure point and, at times, a counter-trend pocket of strength. With investors watching global tech sentiment and upcoming US inflation data, near-term direction remained tied closely to external triggers and risk positioning.