IT shares extend gain; Infosys rallies 9%, TCS surges 7% in one week

Shares of information technology (IT) companies continued their northward movement on Thursday. The stocks have surged up to 9 per cent in the past one week after Accenture came out with better-than-expected financial results for the quarter ended May 2020.

In the management commentary, Accenture on Friday, June 26 said it expects a decline in IT budgets due to the weak economic growth outlook. However, spends on digital transformation will increase, offset by lesser spend on running operations. Accenture will transform run operations providing cost savings, which will be invested back into digital transformation.