Market Brief: Tuesday Downturn Indian benchmark indices faced significant selling pressure on Tuesday, **February 24, 2026**, as global headwinds and technology-driven anxieties rattled local investors. The **BSE Sensex** shed over **480 points** to open near **82,805**, while the **Nifty 50** slipped approximately **0.5%** to hover around the **25,580** mark. The initial volatility wiped out nearly **Rs 2.94 lakh crore** in investor wealth. Market sentiment turned skittish following a steep sell-off in US markets, where the **Dow Jones** plunged over **800 points** in the preceding session. The Dual Threat: AI and Trade Policy The primary catalyst for the decline in the IT sector was a "tech earthquake" triggered by the launch of **Claude Code** by AI startup Anthropic. This new tool claims to modernize **COBOL**—the legacy programming language that still powers roughly **95%** of US ATM transactions. This development poses a direct threat to the lucrative consulting and maintenance businesses of major IT firms. Following a **13%** crash in **IBM** shares on Wall Street, Indian IT giants felt the heat. **Infosys** and **Wipro** saw declines of nearly **2%**, while the **Nifty IT index** fell by **1.42%** during early trade. Simultaneously, renewed trade uncertainty emerged from Washington. Despite recent judicial rulings, fresh threats of national security tariffs under **Section 232** have emerged. These proposed levies target critical sectors including **automobile components**, steel, and chemicals. The threat of a **15%** global tariff, combined with specific duties on auto parts, dragged down the **Nifty Auto** index, as exporters braced for potentially higher costs and disrupted supply chains. Sector Performance and Key Figures While the broader market struggled, some defensive pockets showed resilience. **HDFC Life** and **Nestle India** managed to trade in the green, providing a slight cushion to the benchmark indices. * **BSE Sensex:** 82,805.02 (**-0.6%**) * **Nifty 50:** 25,581.00 (**-0.5%**) * **Wealth Loss:** Rs 2.94 Lakh Crore * **Top IT Loser:** Infosys (**-1.90%**) * **Top Metal Loser:** Hindalco (**-2.08%**) Broad-market indices also mirrored the cautious tone. The **BSE SmallCap 250** declined by **1%**, and the **MidCap 150** fell by **0.8%**, indicating that the selling pressure was not restricted to large-cap stocks. Outlook on Volatility Traders are bracing for continued fluctuations as the **February derivatives expiry** approaches. The combination of "AI jitters" and "tariff chaos" has created a "sell first, ask questions later" environment. Market experts suggest that until there is clarity on the US trade stance and the actual impact of AI automation on legacy IT contracts, the indices may remain range-bound with a negative bias. Global event risks, including geopolitical tensions in the Middle East, continue to serve as a dominant narrative for the current week.