TCS, HCL Tech, Tech Mahindra, Infosys: IT stocks tumble ahead of Union Budget; here's why  

IT stocks were among the top losers on Friday amid global growth concerns and higher US bond yields. The weakness in the IT stocks led the BSE IT index to tumble 303 points to 36,615 today. On similar lines, Nifty IT index crashed 395 points or 1.03% to 38,036 ahaed of Union Budget set to be announced on February 1.    

HCL Technologies (1.55%), Tech Mahindra (1.29%), Infosys (1.05%) and TCS (0.67%) were among the top losers on the Sensex today. On the BSE IT index, Infobeans Technologies stock was the top loser slipping (5.23%), Innovana Thinklabs (3.84%), Control Print (3.30%), Quick Heal Technologies (3.28%) and Zensar Tech (2.78%). 
 
Global growth concerns, including the US from where Indian IT firms earn over 50% of their revenue, turned sentiments around the IT stocks weak today. 

Vinod Nair, Head of Research, Geojit Investments said, "Indian equity markets remained volatile ahead of the Union Budget, with benchmark indices dragged lower by weakness in IT and metal stocks. Persistent FII selling and continued rupee depreciation kept market sentiment cautious. With geopolitical risks and global tariff pressures rising, the Union Budget is keenly awaited for cues on growth support and fiscal discipline. Globally, although a deal to avert the latest US government shutdown provided temporary relief, markets remain watchful ahead of the appointment of a new Fed Chair, as a more hawkish stance could tighten liquidity and weigh on emerging markets."

Economic Survey, presented in Parliament on January 29, displayed a cautious picture of the global economy, describing it as entering a phase of 'fragile and diverging growth'. 

The survey further said that since the last Survey, global economic conditions have been disrupted by the imposition of tariffs by the United States on its trading partners. 

These reciprocal tariffs announced in April 2025 initially raised fears of slower growth and higher inflation. 

Meanwhile, Sensex closed 296 pts lower at 82,269 and Nifty slipped 98 points to 25,320.