India’s BSE Sensex was little changed around 82,680 in Monday morning trade, as sentiment remained subdued following last week’s sell-off in IT stocks and declines in brokerages and the BSE stock exchange itself. Technology shares stayed under pressure amid worries that rapid progress in AI automation could disrupt traditional software services business models. Tata Consultancy Services, Infosys, Tech Mahindra, and Coforge slipped between 0.3% and 1.3%.
Elsewhere, exchange operator BSE tumbled 9%, while brokerages such as Angel One and Motilal Oswal Financial Services fell between 1% and 7%. The declines came after the Reserve Bank of India tightened rules on banks’ capital market exposure, a move expected to increase funding costs and potentially curb leverage and liquidity in derivatives trading.
At the same time, India is hosting a major global AI summit in New Delhi, where Prime Minister Narendra Modi is seeking to position the country as a leading player in the worldwide race to develop advanced artificial intelligence models.
