Thousands of traders on Zerodha’s Kite platform reported technical issues on 3 February 2026, even as India’s stock markets surged on optimism around a landmark India-US trade deal.
According to user reports and Downdetector data, over 350 outage complaints were filed during peak trading hours, with 42 percent relating to Zerodha’s website, 32 percent to the mobile app, and the rest about trading functionality not working properly. Many users reported difficulties placing orders, accessing account details and seeing updated portfolio values, prompting frustration across social media platforms like X.
One trader wrote on X: “Funds are not showing up after selling my holdings! Fix it ASAP.” Another questioned whether Zerodha would take responsibility for losses resulting from the glitches.
Market Rally Fuels Web Traffic
The problems coincided with a sharp stock market rally triggered by news that the U.S. had agreed to significantly reduce tariffs on Indian goods. Key benchmarks opened strongly: the Nifty 50 hit an intraday high of 26,341, up 1,253 points within minutes of the opening bell, while the BSE Sensex touched 85,871, surging over 4,200 points early in the session.
The positive sentiment was tied to confirmation of a trade deal between India and the United States, which eased investor uncertainty and rekindled optimism around foreign capital inflows and export prospects.
Why the Glitches Matter
Heavy traffic during sharp market moves can strain brokerage systems, but retail investors noted that such disruptions directly affect their ability to trade — especially when markets are volatile and decision windows are narrow. Past incidents have shown that Zerodha’s systems have faced similar stress on high-volume days.
Zerodha acknowledged the reports and said it was investigating while working to stabilise service. Users were advised to retry operations or use alternate access routes while the company addressed the issues.
The episode highlights both the increased retail participation in Indian equity markets and the infrastructure challenges brokers face as traffic spikes during major economic or geopolitical events.
