SENSEX NIFTY Today - IT Stocks Rally as Investors Shift Away from Global AI Selloff Concerns

28 Jul 2026 , 11:46 AM

Indian IT Stocks Lead Market Gains as Nifty 50 Holds Above 24,000

Indian equity markets traded largely flat on Tuesday, with the Nifty 50 hovering around the 24,000 mark as investors balanced sector-specific buying against weakness in several heavyweight stocks. The biggest market action came from the IT sector, where leading technology companies rallied sharply amid global concerns over artificial intelligence (AI) valuations and semiconductor stocks.

At 11:30 AM, the Nifty 50 was trading at 24,013.50, up 17.55 points or 0.07%, compared with the previous close of 23,995.95. The index opened at 23,971.25, with total traded volume of 1,802.11 lakh shares and turnover of ₹13,870.77 crore.

The BSE Sensex was almost unchanged, trading at 76,841.53, gaining 5.75 points or 0.01%. The index touched an intraday high of 76,988.48 and a low of 76,705.22.

Market breadth remained mildly positive, with:

• Nifty 50: 30 advances and 20 declines
• Sensex: 18 advances and 12 declines

IT Stocks Outperform as Investors Rotate From AI Hardware to Software

The major highlight of Tuesday’s session was the strong performance of Indian IT stocks. The Nifty IT index gained nearly 2.5%, supported by buying in major software exporters.

Top IT gainers included:

• TCS: ₹2,403.20, up 4.69%
• Tech Mahindra: ₹1,628.70, up 3.41%
• HCL Technologies: ₹1,336.50, up 3.13%

Other technology stocks also witnessed strong buying interest, including Infosys, Persistent Systems, Mphasis, Coforge, and Oracle Financial Services Software.

Investors are increasingly differentiating between semiconductor companies facing AI infrastructure concerns and Indian IT service providers that benefit from enterprise technology spending, cloud adoption, and digital transformation.

Why Are Indian IT Stocks Rising Today?

1. Global AI Stock Selloff Triggers Sector Rotation

Technology markets across Asia witnessed heavy selling pressure in semiconductor stocks due to concerns over rising AI investment costs and stretched valuations.

Major global chip companies faced pressure as investors questioned whether massive spending on AI infrastructure will generate sufficient returns.

Unlike semiconductor manufacturers, Indian IT companies have limited direct exposure to chip manufacturing cycles. This has encouraged investors to shift toward software companies with diversified revenue streams.

2. Investors Prefer Software Over AI Hardware Risks

The recent weakness in global AI-linked stocks has created a rotation trade.

Investors are looking at Indian IT companies as relatively stable beneficiaries of:

• Artificial intelligence adoption
• Cloud migration
• Enterprise automation
• Digital transformation spending

The market view is that while AI infrastructure companies face valuation concerns, IT service providers could benefit from implementing AI solutions for global businesses.

3. Positive Outlook Ahead of US Tech Earnings

Indian IT companies generate a significant portion of revenue from North America. Market participants are positioning ahead of major US technology earnings to assess:

• Corporate technology spending trends
• AI adoption demand
• Cloud service growth
• Enterprise software budgets

Positive expectations around technology spending are supporting Indian IT stocks.

Coforge Performance Boosts IT Sentiment

Coforge emerged as one of the strongest performers in the technology space after its quarterly performance update and management commentary.

The company reported strong revenue growth following the consolidation of Encora Holdings. However, profitability was affected by acquisition-related expenses and exceptional costs.

The market focused more on the company’s growth outlook and integration benefits, helping improve sentiment across mid-cap IT stocks.

Top Nifty Gainers Today

Stock	Price	Change
TCS	₹2,403.20	+4.69%
Tech Mahindra	₹1,628.70	+3.41%
HCL Technologies	₹1,336.50	+3.13%
Eternal	₹304.95	+3.08%
Nestle India	₹1,486.50	+2.79%

TCS led the large-cap IT rally, while Eternal attracted strong trading interest with volumes exceeding 331 lakh shares.

Top Nifty Losers Today

Stock	Price	Change
Hindustan Unilever	₹2,064.00	-5.09%
BEL	₹395.35	-2.90%
Coal India	₹415.25	-2.87%
NTPC	₹344.05	-1.92%
Tata Consumer Products	₹1,088.80	-1.68%

Hindustan Unilever was the biggest drag on the index after falling over 5%, while defence and commodity-related stocks witnessed profit booking.

Crude Oil Decline Supports Market Sentiment

Falling crude oil prices are providing support to global risk appetite. Lower oil prices can help reduce inflationary pressures and improve expectations for corporate profitability.

For India, which imports a significant amount of crude oil, lower energy prices are generally positive for inflation and economic stability.

Nifty 50 Technical Levels to Watch

Resistance Levels:

• 24,100
• 24,200

A sustained move above 24,200 could open the possibility of further upside toward 24,300.

Support Levels:

• 23,950
• 23,850

A fall below 23,850 may increase selling pressure.

Market Outlook: Sector Rotation Continues

The Indian stock market is currently witnessing sector rotation rather than a broad-based rally.

Technology stocks are gaining investor preference, while FMCG, PSU, and commodity stocks face selling pressure.

Key factors influencing the next market move include:

• US Federal Reserve policy decision
• Global technology earnings
• AI investment trends
• Crude oil movement
• Foreign institutional investor activity

Conclusion

The Nifty 50 remained stable near the 24,000 level, but the real action was concentrated in IT stocks. Investors are rotating capital from global AI hardware companies into Indian software exporters, viewing them as better positioned amid changing technology trends.

While short-term volatility may continue due to global cues and Fed policy expectations, Indian IT stocks remain the key sector to watch as markets reassess the long-term impact of artificial intelligence spending.

Disclaimer: The stock(s) and IPO discussed in this article are mentioned solely for informational and educational purposes. This content should not be construed as investment advice or a recommendation to buy or sell any securities. Investors should conduct their own research or consult a qualified financial advisor before making any investment decisions. Investments in the securities market are subject to market risks. Read all related offer documents carefully before investing.