Kolkata: Information technology stocks which began crumbling a few days ago in the US, thanks to AI jitters, is continuing to shiver under intense selling pressure. Feb 12 was a day when the IT index displayed a spectacular drop. Bellwether stocks such as Infosys and TCS dropped by 5.57% and 5.37% respectively. TCS reached its 52-week low. Other IT majors such as HCL Technologies and Tech Mahindra slid by 4.44% and 2.91% respectively.
Today too, IT stocks have come under intense selling pressure. At 10:15 am, Infosys was 6.22% down, TCS 4.86% down, HCL Tech was 4.76% down, Wipro was 4.02% down and Tech Mahindra was 3.32% down. Concerns about the possible disruption related to Artificial Intelligence (AI) particularly affected the tech stocks. All of tehse was pulling the market deep into the red on Friday morning.
Major stocks down on Friday morning
Infosys: 6.22%%
TCS: 4.86%
HCL Tech: 4.76%
Wipro: 4.02%
Coforge: 5.84%
LTI Mindtree: 4.01%
Tech Mahindra: 2.91%
Emphasis: 3.49%
Persistent Systems: 3.13%
US market drop
The US stock market witnessed a sharp decline on Thursday Feb 12. Major indexes were under pressure amid heavy selling in technology stocks and growing concerns about artificial intelligence (AI). The Dow Jones Industrial Average fell 669.42 points to close at 49,451.98. The S&P 500 fell 108.71 points to 6,832.76, while the Nasdaq Composite fell the most, 469.32 points or 2.03 percent, to close at 22,597.15.
This weakness in the US market also impacted the ADRs of Indian IT companies. Infosys’ ADRs fell more than 7% intraday, falling to $14.59. Wipro’s ADRs, meanwhile, fell 5.4% to reach $2.26.
(Disclaimer: This article is only meant to provide information. News9 does not recommend buying or selling shares or subscriptions of any IPO, Mutual Funds, precious metals, commodity, REITs, InvITs and any form of alternative investment instruments and crypto assets.)