Markets slump nearly 1% on IT rout; Trump tariff worries hit investor sentiment

Market Overview - Equity benchmark indices Sensex and Nifty fell nearly 1% in early trade on February 24, 2026, primarily due to a significant selloff in IT stocks amid concerns over AI-led disruption [1] - The BSE Sensex dropped 813.13 points, or 0.97%, to 82,481.53, while the NSE Nifty declined 230.15 points, or 0.89%, to 25,482.85 [1][2] Sector Performance - IT stocks were notably affected, with Eternal leading the decline at 3.82%, followed by HCL Technologies, Infosys, Tech Mahindra, and Tata Consultancy Services among others [2] - Conversely, State Bank of India, Axis Bank, PowerGrid, Asian Paints, Kotak Mahindra Bank, and Tata Steel were among the gainers [2] Global Influences - Rising crude oil prices, with Brent Crude increasing by 1% to $72.13 per barrel, contributed to negative investor sentiment [5] - Renewed concerns over global trade were triggered by U.S. President Donald Trump's tariff remarks, impacting market dynamics [1][4] Investor Sentiment - The ongoing weakness in tech stocks is expected to persist, as indicated by the performance of Indian IT companies' American Depository Receipts (ADRs) [3] - Market participants are closely monitoring Trump's State of the Union address for potential implications on market conditions [3] Institutional Activity - Foreign Institutional Investors (FIIs) purchased equities worth ₹3,483.70 crore, while domestic institutional investors were net sellers of stocks worth ₹1,292.24 crore on February 23 [5]