IT's slice of Nifty 50 pie shrinks to 17-year low

Sector's weighting in index has slipped to 10.2% from peak of 17.7%

- KRISHNA KANT

India's top information technology (IT) services exporters, such as Tata Consultancy Services (TCS), Infosys, Wipro, and HCLTech, continue to lose ground on the bourses, even as the bulls return to the Street.

The Nifty IT index has fallen 9.5 per cent so far in April, compared to a 1.4 per cent gain in the broader Nifty 50 during the same period. On Thursday, Nifty IT edged up just 0.23 per cent, trailing the 1.8 per cent rise in the benchmark index.

As a result, the IT sector's weighting in the Nifty 50 has slipped sharply. It now stands at 10.2 per cent—its lowest in 17 years—and only marginally above the record low of 9.7 per cent in March 2008, a few months before the Global Financial Crisis (GFC) breakout.

This marks a 42 per cent decline from the sector's 15-year high weighting of 17.7 per cent at the end of March 2022.