Pharma recovers, tech lags after Brexit

Pharmaceutical and select automobile stocks, impacted by Britain's exit from the European Union (Brexit), have recouped their losses and are trading higher than the levels they were trading a day prior to the result.

"The exposure of these firms to Europe is eight-10 per cent of the total exports, so the impact is likely to be contained," said G Chokkalingam, founder, Equinomics Research. The rally has also aided the recovery.

The information technology pack, however, continues to languish with key stocks trading one-five per cent below the pre-Brexit level.

"IT will take some time to recover as a lot of contracts are up for renewal and buyers in the euro region might want to postpone their decision till clarity emerges," said Deven Choksey, managing director, KR Choksey Shares.

Tata group companies have a large exposure in the UK and EU, and Tata Motors and Tata Steel are also below the pre-Brexit levels.