India IT Investors Count on Rupee's Fall
With no change in the US economic situation and fresh IT investments by clients on hold, the weakening rupee is the only focus point for investors in IT stocks. While this has provided a breather, it has not made a significant difference to company outlook. In the last three months, the rupee has weakened more than 7% against the dollar. During this period, the Sensex lost 12.31% while the BSE-IT index gained a little over 11%. A further re-rating of the entire sector is expected to happen by the third quarter of the fiscal, when companies anticipate slowdown to ease and more business to start flowing in.
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