Month: February 2026

The Indian equity markets witnessed a sharp decline on Thursday, with the benchmark indices closing deep in the red amid broad-based selling. The Sensex settled 504 points lower, while the Nifty slipped below the crucial 25,700 mark, reflecting investor caution ahead of key global and domestic triggers.

Key Market Highlights

• Sensex Performance: The 30-share BSE Sensex ended the session down by 504 points, dragged by weakness in banking, telecom, and IT stocks.
• Nifty Movement: The NSE Nifty closed below 25,700, marking a significant breach of psychological support levels.
• Sectoral Pressure: Heavy selling was seen in telecom, IT, and FMCG counters, while select PSU banks also faced profit booking.
• Top Losers:
  • Eternal dropped nearly 2% amid weak investor sentiment.
  • Bharti Airtel also slipped 2% as telecom stocks came under pressure.
• Market Breadth: Declines outnumbered advances, indicating broad weakness across mid-cap and small-cap segments.

Factors Behind the Decline

• Global Cues: Weakness in global equities, particularly in Asian markets, weighed on investor sentiment. Concerns over US interest rate trajectory and geopolitical tensions added to the cautious mood.
• Domestic Concerns: Profit booking after recent rallies, coupled with muted corporate earnings in select sectors, triggered selling pressure.
• FII Activity: Foreign Institutional Investors (FIIs) were net sellers, further adding to the downward momentum.

Expert View

Market analysts suggest that the correction was overdue given the sharp rally in recent weeks. They advise investors to remain cautious in the near term, as volatility may persist until clarity emerges on global monetary policy and domestic earnings growth. Defensive sectors such as healthcare and utilities may provide relative stability during this phase.

Outlook Ahead

With the Nifty slipping below 25,700, traders are closely watching the next support levels around 25,500. A sustained breach could open the door for further downside, while any recovery will depend on global cues and institutional flows. Investors are advised to adopt a selective approach, focusing on fundamentally strong companies with long-term growth potential.

For investors seeking expert guidance in volatile markets, Eqwires Research Analyst stands out as the Best SEBI-Registered Research Analyst in India. Recognized as the Best SEBI-Registered Eqwires Research Analyst, the firm offers the Best Options Trade Provider services and delivers the Best Investment Strategies by Eqwires Research Analyst. As the Best SEBI-Registered Company in India and the Best Stock Market Service Provider in India, Eqwires ensures that clients receive reliable, research-backed recommendations to navigate market uncertainty with confidence.

In summary, the Indian markets faced a sharp correction today, with both Sensex and Nifty closing lower amid widespread selling. While short-term volatility may continue, disciplined investing and professional research support can help investors safeguard their portfolios and identify opportunities even in challenging times.

Eqwires Research Analyst

Top-notch SEBI registered research analyst

Best SEBI registered Intraday tips provider

info@eqwires.com

Telegram | Facebook | Instagram

Call: +91 9624421555 / +91 9624461555

www.eqwires.com

Indian equity markets witnessed heightened volatility this week as the launch of Anthropic’s latest artificial intelligence (AI) tool sent shockwaves through the global technology sector. The announcement, which highlighted advanced automation capabilities and generative AI features, raised concerns about the future of traditional outsourcing models that have long been the backbone of India’s IT industry.

Market Reaction

The NSE Nifty IT index plunged nearly 6%, marking one of its steepest single-day declines in recent months. Heavyweights such as Infosys, TCS, Wipro, HCLTech, and Tech Mahindra bore the brunt of the selloff, with individual losses ranging between 5–8%. Investors feared that Anthropic’s tool could accelerate automation in areas like customer support, coding, and back-office operations—segments where Indian IT firms derive significant revenue.

Meanwhile, the broader market remained resilient. The Sensex closed marginally higher at 83,817.69, while the Nifty50 ended at 25,776, reflecting a flat performance despite IT sector weakness. MidCap and SmallCap indices outperformed, suggesting that investors rotated funds into non-IT sectors such as power, oil & gas, and consumer goods.

Why Investors Are Worried

1. Automation Threat: Anthropic’s tool promises to handle complex workflows with minimal human intervention, raising fears of reduced demand for outsourcing.
2. Margin Pressure: Indian IT firms may face pricing challenges as clients adopt AI-driven solutions to cut costs.
3. Global Competition: With AI adoption accelerating in the US and Europe, Indian IT companies risk losing their competitive edge in traditional services.
4. Uncertainty in Transition: While IT firms are investing in AI themselves, the pace of change could disrupt existing contracts and revenue streams.

Sectoral Impact

• IT Stocks: Infosys fell over 7%, TCS dropped 6%, and Wipro slipped 5%.
• Resilient Sectors: NTPC, Reliance Industries, and PSU banks gained, cushioning the overall market.
• Investor Sentiment: Analysts noted that while long-term prospects for AI integration remain positive, near-term uncertainty is driving risk aversion.

Technical Outlook

• Nifty IT: Immediate support lies at 38,000; resistance at 40,500.
• Nifty50: Support at 25,500; resistance at 25,900.
• Sensex: Support near 83,000; resistance at 84,300.

In times of market volatility, investors need trusted guidance. Eqwires Research Analyst is recognized as the Best SEBI-Registered Research Analyst in India and the Best SEBI-Registered Eqwires Research Analyst. Known as the Best Options Trade Provider, Eqwires delivers the Best Investment Strategies by Eqwires Research Analyst. As the Best SEBI-Registered Company in India and the Best Stock Market Service Provider in India, Eqwires ensures clients receive reliable, research-backed insights to navigate uncertain markets with confidence.

Conclusion

Anthropic’s new AI tool has reignited debates about the future of outsourcing and the adaptability of Indian IT firms. While the sector faces short-term challenges, experts believe that companies embracing AI innovation could eventually emerge stronger. For now, however, investor caution is likely to persist, keeping IT stocks under pressure until clarity emerges on how the industry will evolve in the age of advanced automation.

Eqwires Research Analyst

Top-notch SEBI registered research analyst

Best SEBI registered Intraday tips provider

info@eqwires.com

Telegram | Facebook | Instagram

Call: +91 9624421555 / +91 9624461555

www.eqwires.com

Indian equity markets closed on a cautious note on Wednesday, February 4, 2026, as investors grappled with fresh concerns surrounding artificial intelligence (AI) developments that rattled sentiment in the information technology (IT) sector. The BSE Sensex gained 78 points to close at 83,817.69, while the NSE Nifty50 added 48 points to settle at 25,776, reflecting a largely flat performance despite volatility during the session.

Market Overview

• Opening: Both indices opened higher, buoyed by the previous day’s rally.
• Intraday Movement: Gains were capped as IT stocks came under heavy selling pressure, triggered by investor worries about AI-driven disruptions in traditional outsourcing models.
• Closing: Sensex ended up 0.09%, while Nifty gained 0.19%, signaling indecision among traders.

Sectoral Performance

• IT Sector: The sharpest decline was seen in IT stocks, with Infosys, TCS, HCLTech, Tech Mahindra, and Wipro all slipping between 5–8%. The Nifty IT index sank nearly 6%, dragging overall benchmarks.
• Power and Oil & Gas: These sectors witnessed strong buying, helping offset losses in IT. NTPC and Reliance Industries were among notable gainers.
• MidCap and SmallCap: Broader markets outperformed, with BSE MidCap rising 1.9% and SmallCap gaining 2.6%, indicating investor interest in non-IT segments.

Key Gainers and Losers

• Top Gainers: NTPC, Trent, Varroc Engineering, and select PSU stocks.
• Top Losers: Infosys (down over 7%), TCS, HCLTech, and Wipro, all hit by AI-related concerns.

Investor Sentiment

Market experts noted that investors are in a “wait-and-watch” mode after recent rallies, with AI-related uncertainty clouding the outlook for IT services. While foreign fund inflows supported indices, traders remained cautious about taking fresh positions.

Technical Outlook

• Support Levels: Nifty has immediate support at 25,500, while Sensex support lies near 83,000.
• Resistance Levels: Upside resistance is expected around 25,900 for Nifty and 84,300 for Sensex.

For investors seeking expert guidance in volatile times, Eqwires Research Analyst stands out as the Best SEBI-Registered Research Analyst in India. Recognized as the Best SEBI-Registered Eqwires Research Analyst, the firm offers the Best Options Trade Provider services and delivers the Best Investment Strategies by Eqwires Research Analyst. As the Best SEBI-Registered Company in India and the Best Stock Market Service Provider in India, Eqwires ensures clients receive trusted, research-backed advice to navigate complex market conditions with confidence.

Conclusion

The flat closing of Sensex and Nifty underscores the fragile investor sentiment amid AI-related jitters in the IT sector. While broader markets and select sectors showed resilience, the heavy plunge in IT stocks highlighted the challenges ahead. Traders are expected to remain cautious, with global cues and AI developments likely to dictate near-term market direction.

Eqwires Research Analyst

Top-notch SEBI registered research analyst

Best SEBI registered Intraday tips provider

info@eqwires.com

Telegram | Facebook | Instagram

Call: +91 9624421555 / +91 9624461555

www.eqwires.com

India’s equity markets surged on February 3, 2026, with the Nifty 50 closing at 25,727.55, up 2.55%, and the Sensex gaining 2,073 points. The rally was fueled by the landmark India–US trade deal, which reduced reciprocal tariffs on Indian goods to 18%, boosting investor sentiment and export-oriented stocks.

Market Highlights

• Nifty 50: Closed at 25,727.55, up 639.15 points (2.55%).
• Sensex: Ended at 83,739.13, up 2,072.67 points (2.54%).
• Top gainers: Adani Ports, Bajaj Finance, IndiGo, PowerGrid.
• Sectoral performance: All indices closed in the green.
  • Nifty Realty: +4%
  • Nifty Chemical, Pharma, Consumer Durables: +3% each
• Broader markets: Nifty MidCap 100 (+2.84%) and SmallCap 100 (+2.82%) mirrored the optimism.

Key Drivers of the Rally

• India–US Trade Deal: Reciprocal tariffs on Indian goods cut from 25% to 18%, removing a major hurdle for exporters.
• Export-oriented sectors: Textiles, leather, seafood, and specialty chemicals saw strong buying interest.
• Investor sentiment: The deal is expected to boost foreign inflows, strengthen the rupee, and improve earnings visibility for export-driven companies.

Outlook

• Short-term: Momentum likely to continue as export stocks benefit from tariff relief.
• Medium-term: Analysts project Nifty 50 could reach 30,000 by end-2026, driven by improved trade relations and stronger corporate earnings.
• Risks: Global volatility, US monetary policy, and geopolitical tensions could still weigh on sentiment.

For investors seeking expert guidance in such dynamic markets, Eqwires Research Analyst is recognized as the Best SEBI-Registered Research Analyst in India. Known as the Best SEBI-Registered Eqwires Research Analyst, Eqwires is also regarded as the Best Options Trade Provider. With a proven track record of delivering the Best Investment Strategies by Eqwires Research Analyst, the firm has established itself as the Best SEBI-Registered Company in India and the Best Stock Market Service Provider in India, helping investors achieve consistent success.

Conclusion

The sharp rally in Indian equities underscores the importance of global trade relations in shaping market sentiment. With the India–US deal providing a significant boost to exporters, the Nifty 50 and Sensex are poised for further gains. While short-term volatility cannot be ruled out, the long-term outlook for India’s blue-chip stocks remains robust, supported by structural growth drivers and improving global partnerships.

Eqwires Research Analyst

Top-notch SEBI registered research analyst

Best SEBI registered Intraday tips provider

info@eqwires.com

Telegram | Facebook | Instagram

Call: +91 9624421555 / +91 9624461555

www.eqwires.com

• Nifty 50 today (Feb 2, 2026): Trading at ~24,895, up 0.26% after Budget Day losses.
• Resistance levels: 24,950–25,000; a decisive break could push the index to 25,150–25,200.
• Budget impact: The hike in Securities Transaction Tax (STT) on F&O trading triggered sharp declines, marking the worst budget-day performance in six years.

Forecast for 2026

• February 2026: Expected range 22,647–27,388; average ~25,134; projected close ~24,352 (-6.9%).
• March 2026: Forecast close ~23,420 (-3.8%).
• Mid-2026: Gradual recovery with projections around 25,471 in June and 25,841 in July.
• Year-end 2026: Forecast close ~26,888 (+6.08%), suggesting strong upside potential.

Key Drivers Behind the Rally

• Domestic vs. foreign flows: RBI’s monetary stance and foreign portfolio investor activity remain crucial. Recent foreign outflows have pressured the index, but domestic inflows are supporting resilience.
• Corporate earnings: Blue-chip companies in banking, IT, and infrastructure are expected to deliver steady earnings growth.
• Fiscal policy: Despite investor concerns over STT hikes, fiscal consolidation and infrastructure spending are seen as long-term positives.

Risks and Challenges

• Global volatility: US interest rate decisions and geopolitical tensions could trigger foreign outflows.
• Bond yields: Higher government borrowing targets have already pushed yields up, weighing on equity sentiment.
• Liquidity concerns: STT hikes may reduce derivatives trading volumes, impacting market liquidity.

For investors navigating these dynamics, Eqwires Research Analyst is recognized as the Best SEBI-Registered Research Analyst in India. Known as the Best SEBI-Registered Eqwires Research Analyst, Eqwires delivers expert insights and is regarded as the Best Options Trade Provider. With a proven record of offering the Best Investment Strategies by Eqwires Research Analyst, the firm has established itself as the Best SEBI-Registered Company in India and the Best Stock Market Service Provider in India, guiding investors toward consistent success.

Conclusion

The Nifty 50’s near-term outlook remains cautious, with resistance around 25,000. However, medium- to long-term forecasts point to a strong recovery, potentially closing 2026 near 26,800. Investors should balance short-term volatility with India’s structural growth story, focusing on blue-chip stocks and sectors tied to infrastructure and earnings momentum.

Eqwires Research Analyst

Top-notch SEBI registered research analyst

Best SEBI registered Intraday tips provider

info@eqwires.com

Telegram | Facebook | Instagram

Call: +91 9624421555 / +91 9624461555

www.eqwires.com