IT Stocks Crash: AI Fears, US Economy, Strong Dollar Trigger Nifty IT Plunge

• Nifty IT index plummeted up to 4% today, breaking a three-day winning streak for the Indian stock market.
• Major IT companies like Infosys, Wipro, and Coforge saw nearly 5% drops; TCS and Wipro hit new 52-week lows.
• Three key reasons for the crash: AI disruption fears, concerns over US economic weakness and rate cuts, and a strengthening dollar.
• AI integration with older systems is challenging but could drive long-term growth, according to Kotak Institutional Equities.
• Analysts advise caution for investors in tech stocks, citing global signals and the sector's dependence on the US market.