Stock market crash: Investors lose Rs 9.5 lakh crore in just two days! What’s the outlook for Nifty, Sensex?
Times of India
by TOI BUSINESS DESKFebruary 13, 2026
AI-Generated Deep Dive Summary
The Indian stock market experienced a sharp decline over two trading sessions, with investors losing Rs 9.5 lakh crore ($107 billion) in market capitalization. The benchmark indices, Nifty and Sensex, saw significant drops of 0.86% and 1.14%, respectively, reflecting broader market volatility. This downturn was particularly driven by a severe sell-off in the IT sector, with major companies like Infosys, TCS, and HCL Technologies witnessing substantial losses. The decline was fueled by concerns over rapid advancements in artificial intelligence (AI), which have raised fears of a potential structural shift in the industry.
Market participants noted that investor sentiment has been dampened by weak global cues, including subdued US inflation data expectations and profit-booking activities in metal stocks due to a strengthening dollar. Additionally, corporate earnings for the current season have fallen short of expectations, further intensifying market jitters. The IT sector's struggles were highlighted by its benchmark index, Nifty IT, hitting a 10-month low as fears of AI-driven disruption loomed large. This has led to concerns about traditional business models being rendered obsolete, particularly in areas like software services that rely on labor arbitrage.
The outlook for the market remains uncertain, with technical analysts suggesting heightened volatility and cautious sentiment among investors. While short-term factors like US inflation data and global market trends will influence near-term movements, long-term worries over AI's impact on traditional industries, especially IT, could shape investor behavior in the coming months. For readers interested in global business trends, this downturn underscores the risks posed by technological disruptions and the interconnectedness of financial markets, even as it highlights the ongoing challenges faced by key sectors like India's $250 billion IT industry.
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Originally published on Times of India on 2/13/2026