Indian IT Stocks Smile After Fed Decision

Indian IT stocks surged as investors reacted positively to the US Federal Reserve’s decision to keep interest rates unchanged on March 19. The Fed’s commitment to two rate cuts in 2025, despite inflation concerns, boosted market sentiment.

Infosys, HCL Technologies, TCS, LTIMindtree, and other major IT firms saw gains, lifting the Nifty IT index by 1.3% to 36,699, its highest in five sessions. This rise mirrored the strong performance of US tech stocks due to close economic ties between the two markets.

Mphasis led the gains, jumping over 2% to Rs 2,332, recovering from a 52-week low. TCS rose nearly 2% to Rs 3,560, while HCL Technologies and Infosys climbed 1.7% and 1.5%, respectively. Other IT stocks, including Tech Mahindra and Wipro, also traded positively.

Experts noted that while the Fed’s dovish stance supports market optimism, risks such as tariffs and inflation remain. Investors remain cautious amid economic uncertainties.