Citrini’s AI scare drives IT index to a 30-month low

The misery of Indian IT companies deepened on Tuesday after a report by US firm Citrini Research fuelled fresh fears about their fortunes. The report flagged major concerns over job losses and AI-led disruptions in consumption-driven economies, rattling investors globally.

The Nifty IT Index plunged 4.74% (or 1,497 points) to close at 30,053.50 — its lowest level in 30 months (since August 3, 2023). Tuesday’s decline marked the third major fall (over 4.5%) for the IT gauge in less than a month. The index has now entered bear-market territory, having declined 22% since the launch of Anthropic’s AI tools on February 4.