Shares of HCL Technologies Ltd dropped 3.18% to ₹1,479.00 on Wednesday, emerging as one of the top losers on the Nifty after U.S. President Donald Trump announced reciprocal tariffs on around 60 countries, triggering a sharp sell-off in U.S. equity futures and rattling sentiment across the global IT space.
The Nifty IT index was the worst-performing sectoral index in morning trade. Midcap IT names like Persistent Systems and Coforge tumbled over 7% and 3.5%, respectively, while Mphasis and Infosys also saw declines in the range of 2.5% to 3%.
Although no direct tariffs have been imposed on IT services, the Trump administration’s broader protectionist stance—announcing a 26% reciprocal tariff on India (with some confusion over the exact figure being 27% as per a White House annexure)—has dampened investor sentiment for export-focused tech firms.
JPMorgan, in a note issued on Wednesday, stated that most of the negatives appear to be priced in after the recent correction in the Nifty IT index in early 2025. The brokerage recommends playing for relief rallies in more beaten-down names like Coforge, Infosys, and KPIT Tech, while advising investors to avoid stocks such as TCS, Wipro, HCL Technologies, and Tata Technologies for the current quarter.
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