Technology pack gains on firm US manufacturing activity data

The technology stocks have gained in the morning trades on the back of firm U.S. manufacturing activity data.

The U.S. manufacturing activity hit a nearly 3-1/2-year high last month and construction spending rebounded strongly in the month of July.

The index of national factory activity increased to 59.0 in August 2014, the highest reading since March 2011, compared with 57.1 in July 2014, the Institute for Supply Management said. A reading above 50 indicates expansion in the manufacturing sector.

Further, the US Commerce Department in a release said, construction spending rose to 1.8% in July 2014, the highest monthly gain since May 2012

IT majors Infosys TCS, Wipro, Mindtree and HCL Tech have gained between 1-2% on the BSE.

 

Meanwhile, at 10.30 AM, BSE IT index is quoting 10337.89 levels up by nearly 2%, also its 52-week high.

 

Also CNX IT is up by 1.6% quoting at 10925 levels.