IT stocks fall on rupee strength

IT stocks today came under selling pressure, losing up to 2 per cent, after the rupee gained strength against the dollar.
Shares of TCS fell by 1.30 per cent, Infosys declined 1.25 per cent, Hexaware Tech dipped 2.17 per cent, Tech Mahindra (0.22 per cent) and HCL Tech (0.05 per cent) on BSE.
Led by losses in these stocks, the BSE IT index fell by 0.88 per cent to close at 10,348.89.
IT companies receive major chunk of their revenue in dollar from their US clients.
The rupee today surged 37 paise to breach the psychological 64-level against the US dollar and finally ended at a fresh two-year high of 63.70.

This is the best closing for the home currency since July 22, 2015, when it had ended at 63.58 against the US dollar.