By Vivek Kumar M and Bharath Rajeswaran
(Reuters) -Indian shares rose in early trading on Wednesday, led by IT shares on signs of de-escalation in U.S.-China trade tensions and after HCLTech forecasted upbeat revenue growth.
The Nifty 50 was up 0.29% at 24,236.7 and the BSE Sensex gained 0.34% to 79,870.19 as of 10:31 a.m. IST. The Nifty 50 is on course for its highest close in 2025 and the seventh straight session of gains.
U.S. President Donald Trump said on Tuesday that tariffs on Chinese imports would fall significantly, although not to zero, following a deal.
The trade war between the world’s two largest economies had raised fears of a global economic slowdown, hitting growth prospects for IT companies.
Shares of HCLTech soared 7% to be the biggest Nifty 50 gainer after India’s No. 3 IT services firm’s revenue forecast for fiscal year 2026 outpaced analysts’ expectations and guidance from its peers.
“The earnings and commentaries from companies that have so far reported results have mostly been positive, especially HCLTech. On top of that, the correction in the IT stocks was huge. All these factors are contributing to the gains,” said Anita Gandhi, founder and head of institutional business at Arihant Capital Markets.
The IT index jumped 3.5%, contributing more than half of the benchmark index’s gains. Indian IT companies get a substantial chunk of revenue from the U.S.
Hopes of the trade tensions easing and Trump backing away from his attacks on Federal Reserve chair fuelled gains in other Asian markets, with the MSCI Asia ex Japan rising nearly 2%. [MKTS/GLOB]
In India, Mahindra & Mahindra Financial Services fell 3% after it posted a lower quarterly profit.
(Reporting by Vivek Kumar M and Bharath Rajeswaran; Editing by Sumana Nandy, Janane Venkatraman and Mrigank Dhaniwala)
