IT stocks shine: Infosys, TCS, Tech Mahindra, others lift Nifty IT up 1.7%; what investors should know

IT stocks like Infosys, TCS, Tech Mahindra, Mphasis, among others surged after the opening bell on Thursday, October 1, powering the sectoral benchmark index up around 1.7% as equity investors focused on upcoming Accenture fourth-quarter earnings, a few corporate actions and the better-than-expected US PCE inflation data.

NSE data showed that the sector benchmark, Nifty IT index, surged 1.71% to touch an early market high of 28,178.60 points on Thursday’s market, in comparison to 27,704.80 points at the previous equity market close.

After hitting the early high post the opening bell, the index gains cooled off to an extent, with Nifty IT trading at around 27,965.60 points, marking a 0.94% higher rate when compared to the previous session.

Stocks like Mphasis, Infosys, Coforge, Tata Consultancy Services (TCS), HCL Tech, Tech Mahindra, among others were the gainers during Thursday’s market, while the broader market traded in the red amid subdued sentiment.

The broader NIFTY50 and SENSEX were witnessing selling pressure from investors against the backdrop of massive foreign investment outflows, elevated US Treasury yields, auto index fall, and traders selling defensive FMCG stocks.

IT stocks in focus today

Why are IT stocks rising today?

IT stocks were gaining during the morning market hours on Thursday, as investors focused on the upcoming quarterly earnings from global giant Accenture, amid better-than-expected PCE inflation data, which showed lower growth in August than the previous month.

Accenture is set to release its fourth-quarter results on October 1, as the company’s financial year runs from September to August.

“Accenture (NYSE: ACN) will host a conference call at 8:00 a.m. EDT on Thursday, October 1, 2026, to discuss its fourth-quarter and full-year fiscal 2026 financial results. An earnings news release will be issued before the call,” the company said in its earlier filing.

For Indian investors, Accenture earnings are important as the results from the global consultancy bellwether act as a key demand indicator in the industry and show a revenue outlook potential for the Indian IT companies.

Along with Accenture’s earnings in focus, investors were also reacting to the better-than-expected US Personal Consumption Expenditures (PCE) inflation data, which somewhat eased expectations of another potential rate hike from the US Federal Reserve in the next FOMC meeting.

As per CME Group’s FedWatch tool, the market is expecting a 62.4% probability that the central bank will keep the key interest rates unchanged in the 3.75-4% range, while a 37.6% probability still leans towards a 25 basis point rate hike.

Tech Mahindra bonus issue

Apart from the key factors, investors were also focused on corporate updates, like Tech Mahindra’s board is set to meet on October 15 and October 16 to consider a proposal for a bonus issue of equity shares.

The IT company’s board of directors will also consider and approve the financial results for the July to September quarter of the fiscal year 2026-27, along with an interim dividend for shareholders.