Reuters Market Eye - Shares of software services exporters rally with Tata Consultancy Services Ltd (TCS.NS) hitting a record high, on hopes earnings will look up in fiscal 2014 on the back of an improving global economy.
Gains come a day after industry body, the National Association of Software and Services Companies (Nasscom), forecasts exports from the software services sector will grow 12-14 percent in 2013/14 to as much as $87 billion.
TCS shares gain 2 percent, earlier hitting an all-time high of 1,441.65 rupees, after Nielsen Holdings NV (NLSN.N), best known for its TV ratings, increased the size of its contract with India’s largest software service exporter to $2.5 billion from $1 billion.
“This reinforces TCS’s positioning further in the large deal market and improves confidence in FY14 growth,” HSBC said in a note dated on Tuesday.
Reporting by Manoj Dharra