Nifty IT Index Reaches Lifetime High of ₹46,002.65, Led by Coforge and Tech Mahindra

Mumbai (ANI): The Nifty IT index surged to an all-time high of ₹46,002.65 on Thursday morning, marking a significant rally for the sector. The index has seen all 10 constituents posting gains, making it the only index in the green.

Coforge led the surge, increasing by up to 4% to hit ₹9,349. Tech Mahindra also saw significant gains, rising by 2.7% to reach ₹1,807. Other IT majors such as Infosys, Wipro, HCL Technologies, and Mphasis also broke their 52-week highs.

Market experts attribute the rally to several factors, including expectations of a potential interest rate cut from the Federal Reserve later this month. The US Labor Department reported that inflation rose by 0.3% in November, in line with estimates. A weaker rupee also contributed to the positive sentiment in the sector.

"It is evident that IT stocks are attracting significant attention today," said Jigar S. Patel, Senior Manager of Equity Research at Anand Rathi. "The break out in Nifty IT index suggests sustained upward momentum and potential for further gains."

Patel expects the Nifty IT index to test ₹49,000 levels in the coming weeks and recommends booking profits between ₹48,000-₹49,000 range. This strategy aims to capture gains from the bullish move while staying cautious of potential resistance at higher levels.

The Indian rupee fell by 2 paise on Thursday morning, reaching ₹84.85 against the US dollar. A weaker currency typically benefits IT companies, as a significant portion of their revenue is earned in US dollars.

The global mood was boosted by the Nasdaq index surpassing the 20,000 mark for the first time during Wednesday's trading. The Dow Jones fell slightly, but the S&P 500 rose while the Nasdaq climbed on Thursday morning.

Overall, the gains in the Nifty IT sector paint a positive picture for investors and analysts.