Indian IT Sector Hit Hard as Global Markets React to US-China Trade Tensions, What will Happen on April 7 -

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On Friday Nifty Slides 1.5% Amid Tariff Tensions; Indian IT Sector Index Falls 3.58% on Global Trade Jitters

The escalating US-China tariff war triggered a sharp sell-off in global markets, leading to a 1.5% drop in Nifty 50 and a severe 3.58% plunge in the Nifty IT index, with all major Indian IT stocks closing deep in the red amid fears of revenue and profitability hits due to increased US duties and retaliate on Chinese tariffs. here was turmoil in the Indian stock market on Friday. The most important index of the National Stock Exchange, Nifty 50, closed down by 1.5 percent that day. Such a decline came before US President Donald Trump announced the imposition of reciprocal tariffs.

When the US President issued an order to impose equal taxes on all countries, he exempted the pharma sector from this list, due to which there was a rise in their prices on Thursday, but on the very next day he gave a statement that tax will be imposed on pharma companies in the coming days. Due to which the farm shares also closed down. As soon as Donald Trump attacked all the countries in a systematic manner, reactions from other countries also started coming in. The most important thing was how China reacts to this.

China imposes 34% tariff on imports of all U.S.

After the US imposed a new 34% tax on China, China also retaliated by imposing an additional tax of 34% on America. After the new duty imposed by China on America, a situation of panic has arisen in the American market on Friday. The threat of recession is looming in America due to which all the major indices of the American stock market fell by up to 5 percent. Especially the American IT sector fell the most.

There was a sharp decline in the shares of big companies like Microsoft, Apple, Nvidia, Meta, Amazon and Alphabet. Apple’s share fell by almost 10 percent. The Indian IT sector closed at a lower level on Friday due to the US increasing duty, but when the impact of tariffs imposed by China hit the US market, our markets were closed. The impact of whatever happened in the US market on Friday is yet to hit our market, which we will see on Monday.

Effect of US-China tariff war in Indian IT Sector

The sector that will be most affected by the fall in the US market on Friday is the Indian IT sector. Most Indian IT Sector companies do their business from the US, and the tariffs imposed by the US government will also affect their revenue and profitability. The way the shares of American IT companies fell in the last trading session, it seems that the Indian IT sector will remain the worst hit sector on Monday as well.

Nifty IT Index Falls Sharply by 3.58%

The Nifty IT index closed at 33,511.45, marking a significant decline of 1,245.80 points or 3.58%. The index opened the session at 34,224.60 and touched an intraday high of 34,757.25 before witnessing a steep sell-off. All 10 constituent stocks within the Nifty IT index ended the day in the red, reflecting broad-based weakness in the sector.

Top 5 Indian IT Sector stocks performance on Friday

TCS:

TCS stock fell sharply by 3.04% to ₹3,299.40, closing near the day’s low of ₹3,295.50. It opened weak at ₹3,362.60 and stayed under pressure throughout the session. The decline likely reflects negative sentiment came from the US government tariff decision. TCS is the largest company from Indian IT sector.

Infosys:

On Friday, second largest company from Indian IT sector, Infosys (NSE: INFY) witnessed a notable decline in its stock performance. The share price dropped by ₹44.85, closing at ₹1,451.65—a fall of 2.99% from the previous close of ₹1,496.50. The stock opened at ₹1,460.50 and traded within a narrow range throughout the day, hitting a low of ₹1,448.00 and a high of ₹1,472.00.

HCL Tech:

On Friday, HCL Technologies (NSE: HCLTECH) experienced a sharp decline in its stock price, closing at ₹1,422.10—down ₹48.00 or 3.26% from the previous close of ₹1,470.10. The stock opened at ₹1,449.00 and fluctuated within a range of ₹1,419.10 to ₹1,456.20 during the trading session.

Wipro:

On Friday, Wipro (NSE: WIPRO) saw a sharp decline in its stock price, closing at ₹246.30, which marked a fall of ₹10.05 or 3.92% from the previous session. The stock traded between a low of ₹244.85 and a high of ₹253.95, indicating a volatile day.

Tech Mahindra:

On Friday, April 4, 2025, Tech Mahindra’s stock, experienced a notable decline. The stock closed at ₹1,320.95, marking a decrease of ₹48.40 or 3.53% compared to the previous closing price of ₹1,369.35. Throughout the trading session, the stock fluctuated between a low of ₹1,318.85 and a high of ₹1,359.20, eventually closing near its day’s low. The opening price for the day was ₹1,350.00.

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