IT Stocks Rally: Infosys, TCS, HCL Tech Surge Up To 3% On India-US Trade Deal Buzz

In Thursday's trading session, IT stocks surged beyond 3% after reports circulated on the possibility of a likely deal between India and the United States.

The Nifty IT index rallied over 2% led by a surge in Infosys share price over 4%. IT firms that also witnessed an uptick in stock price are HCL Technologies, Mphasis,  Persistent Systems, Tech Mahindra, and Persistent Systems, each rising over 2%.

Meanwhile, the share price of Coforge, Wipro, Tata Consultancy Services (TCS), and LTI Mindtree also gained over 1% each.

The uptrend in IT stocks boosted overall sentiment in the Indian stock market today, with the benchmark Sensex climbing more than 700 points and the Nifty 50 breaching the 26,000 mark for the first time since September 30, 2024.

Also Read: Reliance Industries To Recalibrate It's Russian Oil Imports - Details

India-US Trade Pact

Reportedly, India and the US are nearing a highly-anticipated trade pact, which would lower tariffs on Indian good between 15-16% range from the present 50%.

This would comes as a major relief to export dependent sectors like energy, textile, and agriculture. In another major update, India is expected to make large-scale reductions its imports of Russian crude oil, as per a Reuters report.

Infosys Share Buyback Update

Infosys share price was the top performer among other IT stocks, driven by non-participation of promoter group updates linked to the largest-ever Rs 18,000 crore share buyback of the Bengaluru-based company and the first since 2022. 

The IT major said that its promoters and promoter group, including co-founders Narayana Murthy, Sudha Murty, and Nandan Nilekani, have chosen to participate in the buyback. Infosys share price surged up to 4.28% to Rs 1,535.10 apiece on the BSE after this October 22 update.