SENSEX drops over 800 points, NIFTY50 below 23,950; IT index crashes 6% hits fresh 52-week low

The Indian equity benchmarks nosedived on Friday, June 19, as information technology (IT) shares came under intense selling pressure after Accenture, the US counterpart of Indian IT companies, lowered its revenue guidance for the current financial year exacerbating concerns for IT companies which were was already facing strong headwinds from the rise of artificial intelligence.

The SENSEX dropped as much as 805 points and NIFTY50 index touched an intraday low of 23,940 dragged down by weakness in heavyweights like Infosys, HDFC Bank, Tata Consultancy Services, HCL Technologies, Tech Mahindra, Mahindra and Mahindra and State Bank of India.

As of 9:23 am, the SENSEX plunged 743 points to 76,666 and NIFTY50 index tumbled 205 points to 23,965.

Asian markets were trading on a mixed note on Friday with Japan's Nikkei rising 0.3% and South Korea's KOSPI gaining 2.35%. On the other hand, China's Shanghai Composite 0.43% and Hong Kong's Hang SENG declined 1.6%.

Back home, NIFTY IT index dropped as much as 6.44% to hit a fresh 52-week low of 26,634 after Accenture's lowering of revenue guidance raised concerns about the future earnings of Indian IT companies.

All the 10 constituents in the NIFTY IT index were trading lower with Infosys dropping over 8% to hit a 52-week low of ₹1,033.90. Mphasis, TCS, Tech Mahindra, LTI Mindtree, HCL Technologies, Persistent Systems and Coforge also fell between 4.4% and 6.4%.

Accenture lowered revenue guidance for 2026 to 3%-4% from its earlier guidance of 3%-5% on the back of West Asia crisis impacting its consultancy business.

The company’s revenue remained strong at $18.7 billion, up 6% in the same period last year. The managed services revenue rose 8% to $9.39 billion.

At the geographic level, the EMEA regions posted the highest growth amongst other regions at 10%. Whereas the Americas and Asia Pacific showed 2% and 7% YoY growth in revenue, respectively.

Selling pressure was broad-based as 12 of 15 sector gauges compiled by the National Stock Exchange (NSE) were trading lower. Apart from NIFTY IT index, NIFTY Bank, Financial Services, Realty, Private Bank, PSU Bank and Consumer Durables indices also dropped around 0.5%.

On the flip side, pharms, healthcare and media shares were witnessing buying interest.

Broader markets were trading on a flat note as NIFTY Midcap 100 index fell 0.3% and NIFTY Smallcap 100 index was unchanged.

Infosys, TCS, Tech Mahindra, HCL Tech, Wipro, Tata Steel, Hindustan Unilever, Eternal and Bharat Electronics were top losers in the NIFTY50 index.

On the flip side, NTPC, Adani Enterprises, Apollo Hospitals, Trent, Bharti Airtel, Reliance Industries, Grasim and Titan were top gainer in the NIFTY50 index.

The overall market breadth was negative as 1,544 shares were declining while 1,265 were advancing on the NSE.