IBM Crash Sends Indian IT Stocks Sliding as Investors Reassess Outlook

IBM shares plunged 25% after reporting a sharp earnings miss, marking the worst single‑day decline since 1968 and triggering a sell‑off in related technology stocks. The drop erased about $10 billion in market value and rippled through Asian exchanges.

TCS futures slipped toward a 2,500‑point resistance level, reflecting investor concern that broader market weakness could pressure the Indian IT giant’s upcoming earnings. Analysts say TCS’s margin outlook may be revised if global software spending stays low.

Wipro call options surged, while Infosys put options rose, indicating traders are betting on further declines for the two firms after the IBM shock. The surge lifted Wipro call premiums above the 30‑day average, while Infosys puts rose 12%.

Indian IT sector indices opened lower, with ADRs of Infosys and Wipro falling alongside U.S. software majors that dropped up to 7%, suggesting a coordinated market reaction to the IBM crash. Investors await the next quarterly reports for clues on sector stability after the external shock.