The BSE IT Index is up in the green today in an otherwise red market. Out of the 59 IT stocks tracked on the Index, 40 are trading in the green. Both the Nifty and BSE IT index hit new highs today as rupee hit new lows.
TCS, Infosys, HCL Tech, Wipro, Mahindra Tech, NIIT Tech, Mindtree, KPIT Tech, Aptech, Intellect Design; all the stocks are up.
The India rupee vis-à-vis the US dollar hit a new low today at Rs.71 for the first time and in current year, Jan to August, the rupee has depreciated almost 11%.
With majority of the Indian IT companies earnings coming from USA, a depreciating rupee automatically adds to the companies margins.