Indian Stock Market Crashes, 2 Lakh Crore Rupees Vanished Instantly
Reuters File photo.
The Indian stock market witnessed a challenging day today, Friday. A sharp decline in tech stocks wiped out 2 lakh crore rupees from the market. According to Indian media outlet NDTV, the downturn was triggered by the revised financial growth forecast from the global consulting firm Accenture.
Shares of tech giants including Tata Consultancy Services (TCS), Infosys, HCLTech, Tech Mahindra, and Wipro plummeted by 3.3% to 6% during the day.
The primary source of investor anxiety was Accenture's future outlook, which lowered the upper limit of its annual revenue growth projection for the IT sector.
The firm highlighted that despite widespread enthusiasm for Artificial Intelligence (AI), clients remain hesitant to increase their spending in the technology sector.
The company reduced its full-year revenue growth forecast from 3–5% down to 3–4%. Following this announcement, several mid-cap software companies also experienced a significant drop in their share values.
Shares of Coforge, Hexaware Technologies, Sonata Software, Tata Elxsi, and KPIT Technologies also fell substantially.
During the morning trading session, the top 15 biggest losers on the Nifty 500 index were all from the tech sector.
Within minutes of the market opening, the total market capitalization of Sensex-listed companies plunged by nearly 2 lakh crore rupees, triggered by a wave of panic selling in technology stocks.
