Indian IT shares fell for a seventh consecutive session as concerns over Anthropic's latest AI model heightened worries about future revenue impacts. Declines in global tech stocks, led by the Nasdaq, added to the pressure on the sector.
The sell-off affected major companies including Infosys, Tech Mahindra, Coforge and HCL Technologies. Investors reacted to the new AI release by Anthropic, which they viewed as a potential threat to traditional IT services demand.
Broader market weakness in technology shares worldwide contributed to the downturn. The Nifty IT index tracked the losses across the board.
Analysts pointed to September as a possible point for cyclical improvement in the sector. They warned however that ongoing geopolitical tensions might postpone any rebound.