What Anthropic’s powerful new model means for Indian IT stocks

Indian IT stocks have remained under sustained selling pressure, with the Nifty IT index declining 17% so far in 2026. The downturn is largely attributed to rising concerns over potential disruption from rapid advancements in the artificial intelligence (AI) space.

The Indian IT sector is already grappling with slowing growth due to weak client spending and limited earnings visibility. The absence of the “AI froth” that has supported valuations of global technology companies is further weighing on stocks back home.