Indian IT Stocks Fall Over 2% Amid AI Disruption Concerns and FII Selling

Indian IT stocks faced significant selling pressure, with the Nifty IT index dropping over 2 percent to near a three-year low amid concerns about generative artificial intelligence disrupting traditional revenue streams. Major companies like Wipro, Infosys, TCS, and Coforge saw declines up to 7 percent. The sell-off coincided with foreign institutional investor selling and cautious sentiment ahead of the US Federal Reserve's policy decision. Despite broader market stability, sector-specific worries about AI's impact and global demand uncertainties weighed on IT valuations.