Nifty dips below 25,600 as IT selloff drags Sensex down sharply

Indian equity benchmarks opened Friday with a sharp tumble as weak global cues and a broad IT-led selloff pulled the market lower. Nifty slipped beneath the 25,600 mark, while the Sensex was down by well over 700 points in early trade. Traders attributed the move to risk-off sentiment, souring global cues, and renewed concerns around the pace of AI-driven disruption in the tech sector.

Tech heavyweights bore the brunt of the selling, with major IT counters leading the rout. Infosys, TCS and Tech Mahindra were among the laggards, each down as much as nearly 6% in early deals. The IT sector index mirrored the pressure, underscoring investors' worries about earnings backdrops and the potential impact of AI-related disruption on growth trajectories.

The broader market followed suit as participants weighed global cues and domestic macro signals. Weak external markets, coupled with cautious commentary from analysts about near-term earnings resilience, contributed to a risk-off tone across sectors. While some selective names held their ground, the overall mood tilted toward caution and heightened volatility.

Market observers say the next few sessions will be crucial for the indices to find steadier footing. Support levels will come into focus, and any signs of stabilization could trigger a relief rally if global sentiment improves. For now, traders are advised to manage risk carefully, diversify portfolios, and monitor earnings guidance from major technology players and other bellwether stocks.

In this environment, investors should brace for continued volatility as markets digest global cues, domestic data, and evolving expectations around monetary policy. The week’s action sets the stage for a potentially choppier path ahead, with the tone likely to hinge on how technology shares and external markets respond in the near term.

#MarketDip #ITSelloff #SensexNifty