IT stocks buck mkt trend; TCS rises 4.5%

IT stocks bucked the broader market bearish trend and ended with up to 4.5 per cent gains Monday, led by TCS on a weakening rupee.

Shares of Tata Consultancy Services rose by 4.51 per cent, Infosys 1.56 per cent, Hexaware Technologies 1.31 per cent, HCL Technologies 1.02 per cent and Tech Mahindra 0.60 per cent on BSE.

The BSE IT index ended 2.06 per cent higher at 15,787.79.

IT services providers earn a major chunk of their revenue from overseas markets and a weaker rupee improves their profit margins.

The rupee struggled to make headway after a two-day climb and backtracked to end sharply lower by 43 paise to 72.63 against the US dollar.

The rupee had recovered a healthy 78 paise in the last two sessions after crashing to a historic low of 72.99 last week.

The 30-share BSE index tanked 536.58 points or 1.46 per cent to settle at a two-month low of 36,305.02.