Tech stocks lift Indian shares to near record highs

BENGALURU: Indian shares rose to near record highs on Thursday, riding gains in technology stocks as investors awaited key earnings reports after IT major Infosys upgraded its annual revenue outlook.

The NSE Nifty 50 index rose 0.2% to 15,885 by 0443 GMT, while the S&P BSE Sensex was up 0.21% at 53,016.4.

Infosys rose as much as 1.3% before giving up some gains, as its earnings and forecast were boosted by more contract wins from global businesses expanding their digital offerings during the COVID-19 pandemic. The Nifty IT index rose 0.9% to a record high.

Results from Infosys and Tata Consultancy Services, with solid outlooks, augur well for the industry and can invite further investments, V K Vijayakumar, chief Investment strategist at Geojit Financial Services, said in a note.

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"This leg of the market remains strong. However, Nifty is likely to face resistance around 15,900 since foreign institutional investors are consistent sellers at higher levels," Vijayakumar said.

Wipro rose 2% ahead of its results due later in the day.

Larsen & Toubro Infotech, which will also report its earnings on Thursday, jumped 4.6%. Its parent and Nifty 50-component Larsen & Toubro Ltd climbed 3.7%.

Hinduja Global Solutions rose 5% following a report that Baring Private Equity Asia was set to pick up a controlling stake in its healthcare outsourcing division.

Dilip Buildcon slid 6% after the highways authority temporarily banned the construction firm from participating in any bids pending the outcome of an investigation into an accident at its project site.

RBL Bank dropped 3% after it said a regulatory ban on Mastercard would impact credit card issuances. The bank said it had, meanwhile, inked a deal with Visa for its credit cards.

Broader Asian shares were firm after U.S. Federal Reserve Chairman Jerome Powell soothed worries over inflation.