IT Stock Crash: One false news and the IT index crashed, read what happened in the market today?

News Topical, Digital Desk : There has been volatility in the Indian markets today and the indexes remain in the green and red marks close to the previous levels. A sharp decline has been seen in IT stocks during the session, which has affected the market. At the beginning of trading, there was a sudden sharp decline in IT stocks and within a few minutes the IT index reached the lowest levels of the day, due to which the major indexes also slipped. The main reason for the decline in the IT sector was a news that came amid concerns about the IT sector, which later proved to be wrong. After clarification on the news, the indexes were successful in some recovery.

What was the whole matter?

At the beginning of trading, there were some reports according to which US President Trump is planning to impose tariffs on India's IT sector. Bloomberg was quoted in this news. As soon as the news came, there was a sell-off in the big IT stocks and the index came down. This also affected Nifty 50. And it also came down. However, when CNBC TV 18 contacted Bloomberg for confirmation, Bloomberg clarified that no such news has been given by them. Redbox Global first gave this news, in which the Reuters story was told to be the source. However, later Redbox issued a clarification saying that this report was not given by Reuters but was a part of the opinion and thought given in a discussion on a local news channel. Investors were already nervous about the IT sector. The IT sector was already under pressure due to Endava's weak results and outlook. However, due to the confusion spread after the news, this fear dominated the index. How was the performance of the IT index? With the news, the Nifty IT index fell 2.5 percent from its upper levels. With the fall, the index came down to the level of 34343 as compared to the previous closing level of 35143. With the clarification on the news, there was a recovery in the index but the pressure also remained. The index is currently trading above 34600. Persistent, Mphasis, Coforge, TechMahindra and HCL Tech have fallen by more than 1.5 percent. All the stocks included in the index are currently in the red mark. 

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