Indian IT stocks bounced back sharply in early trade on Wednesday. After a painful sell-off in the previous session, the mood turned positive. The trigger? A strong rally in global tech stocks overnight.
In stock market today, the spotlight was clearly on the IT pack. Investors who watched Tuesday’s crash saw a different picture this morning. Screens turned green. Confidence returned, at least for now.
Let’s break down what really happened.
Market Performance: IT Stocks Lead the Recovery
The broader stock market today opened in the green.
- Sensex rose over 0.5%
- Nifty 50 gained more than 0.5%
- Nifty IT index surged over 2.8%, emerging as the top-performing sector on NSE
This rally comes a day after markets witnessed a sharp crash. On Tuesday, sentiment was shaken globally due to concerns around artificial intelligence-led disruption.
But Wednesday told a different story.
The buying interest returned, particularly in frontline IT names.
Mphasis, Infosys, LTIMindtree, HCL Technologies and TCS Share Price in Focus
The Nifty IT index saw all its constituents trading higher in the 2% to 4% range.
Among the top gainers:
Each of these counters witnessed gains between 2% and 4% in early trade.
After heavy losses in the previous session, this rebound helped the index recover a significant portion of the decline.
The move was broad-based. It wasn’t just one or two stocks lifting the index. The entire IT pack participated.
That’s important.
Because when sector-wide buying happens, it usually signals sentiment-driven recovery rather than stock-specific news.
Why Did Indian IT Stocks Rise Today?
The key reason lies overseas.
Overnight, US technology stocks staged a strong comeback. That rally set the tone for Indian markets this morning.
The Nasdaq Composite closed:
- Up 236.41 points
- Gained 1.05%
- Settled at 22,863.68
This recovery came after tech stocks in the US had been under pressure earlier this month.
The concerns were around artificial intelligence and how new AI tools could disrupt existing software businesses.
But the latest developments eased those fears.
What Changed in the US Tech Space?
The shift in mood followed announcements from Anthropic.
Earlier this month, its new AI tools had spooked the market. Investors worried about disruption to traditional software companies.
However, fresh clarity emerged.
Anthropic announced partnerships with several SaaS companies, including:
- Salesforce
This signaled collaboration rather than disruption.
Instead of replacing software firms, the AI company showed intent to work alongside them.
That eased one of the biggest concerns in the global tech space.
And markets reacted swiftly.
US Tech Stocks Rally: Key Numbers
The rebound in Wall Street technology stocks was broad.
Here’s how major counters performed:
- Salesforce: +4.1%
- Nvidia: +0.68%
- Advanced Micro Devices: +8.8%
- Apple: +2.24%
- Microsoft: +1.18%
- Intel: +5.71%
- Amazon: +1.60%
- Meta: +0.3%
- Keysight Technologies: +23.1%
That 23.1% spike in Keysight stood out.
This strong rally in US tech stocks helped improve global risk appetite.
And Indian IT, which closely tracks US tech sentiment, responded immediately.
Why Indian IT Stocks React to US Tech Moves?
Indian IT companies earn a large portion of their revenue from overseas markets, with the United States contributing the biggest share of their global business.
So when US technology stocks rebound:
- Confidence improves globally
- Fears around tech disruption ease
- Risk appetite increases
That’s exactly what we saw in stock market today.
The recovery in Nasdaq translated into buying momentum in Indian IT counters.
Investors who panicked during Tuesday’s crash found comfort in global stability.
Tuesday’s Crash: What Triggered It?
Just a day before this rebound, markets were under pressure.
AI-led disruption fears had hit sentiment globally.
Technology stocks were sold aggressively.
Indian benchmarks also felt the heat.
The sell-off was broad and sharp. It reflected uncertainty.
But markets often move in waves.
After fear comes relief.
Wednesday’s rally was a textbook example of that.
Company Details: Mphasis, Infosys, LTIMindtree, HCL Technologies and TCS
All five companies are among the prominent names in India’s IT services space.
They operate across:
- Software development
- Digital transformation
- Cloud services
- Enterprise solutions
- Global outsourcing
Because of their global exposure, these stocks are highly sensitive to:
- US tech trends
- Global AI developments
- Wall Street movements
The 2%–4% rise across these counters shows how closely linked they remain to global sentiment.
Nifty IT Emerges as Sector Leader
When the dust settled in early trade, one clear winner emerged.
The Nifty IT index, up over 2.8%, led all sectoral indices on the NSE.
That’s significant.
After heavy selling pressure in the previous session, such a sharp rebound signals:
- Short-covering activity
- Sentiment recovery
- Relief from global cues
It may not erase previous losses completely, but it restores confidence.
And in markets, confidence drives momentum.
Stock Market Today: A Sentiment-Driven Bounce
Let’s be clear.
There was no company-specific earnings announcement driving this move.
No fresh domestic development.
The rally was sentiment-led.
A global tech rebound triggered a domestic IT recovery.
This is how interconnected markets have become.
When Nasdaq climbs 236.41 points, Indian IT feels it within hours.
Summary: IT Stocks Rebound as Global Fears Ease
Here’s the complete picture of stock market today:
- Nifty IT index jumped over 2.8%
- All IT constituents rose between 2% and 4%
- Sensex and Nifty 50 gained over 0.5% each
- Nasdaq Composite closed 1.05% higher at 22,863.68
- US tech giants posted gains up to 23.1%
The recovery came after clarity around AI partnerships reduced fears of disruption.
As a result, Mphasis, Infosys, LTIMindtree, HCL Technologies and Tata Consultancy Services share price moved higher in early trade.
Markets move on emotion as much as numbers.
Yesterday it was fear.
Today, it’s relief.
For now, IT stocks have regained ground. The sector reclaimed leadership in the stock market today, reminding investors how quickly sentiment can shift in a globally connected market.
Source: Livemint
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