Nifty IT index increases by 2%

1 Dec 2022 , 11:53 AM

The Nifty IT index increased 2% on the National Stock Exchange (NSE) during intraday trade on Thursday, drawing attention to the shares of information technology (IT) companies. Following comments made by the chairman of the US Federal Reserve suggesting the central bank would pause the rate of interest rate increases, the market has rallied.

Technology stock advances helped the US market close higher overnight. Wednesday saw a 4.4% increase in the Nasdaq Composite. Coforge and L&T Technology Services shares rose by 3% at home, while Tata Consultancy Services (TCS), Infosys, HCL Technologies, Wipro, Persistent Systems, Tech Mahindra, and Larsen & Toubro Infotech each saw a 2% increase in their shares on the NSE. The Nifty IT index was up 2% at 09:24 AM compared to a 0.60 % increase in the Nifty 50 index.

Except for TCS and LTI, LTM (last twelve month) attrition for all companies moderated in the quarter of July to September (Q2FY23), and all companies have indicated that attrition will continue to moderate in the second half of the year. Due to outstanding execution built on solid order wins from prior quarters, IT companies’ growth momentum continued in the second quarter of FY23. The demand climate is still strong, and most businesses reported consistent TCVs (total contract values) in Q2.

For feedback and suggestions, write to us at [e-mail]