Sensex down; IT outsourcing firms fall on revenue worries

Reuters Market Eye - The BSE Sensex falls 0.14 percent, while the broader Nifty is down 0.05 percent, retreating from record highs hit on Tuesday.

IT outsourcing companies fall after analysts cite Tata Consultancy Services Ltd as saying revenue growth could be weakening from the previous quarter, sparking concerns about the broader sector.

TCS shares slump 4.1 percent, while Infosys Ltd is down 2.2 percent.

Recent outperformers also fall, with Oil Natural Gas Corp (ONGC) down 2.8 percent after recent strong gains, ahead of the outcome of the Federal Reserve's policy review later during the day.

However, investors also pick up on beaten down sectors such as metals: Tata Steel gains 4.2 percent, although shares are still down 16.4 percent so far this year.

 

Foreign institutional investors continued to buy Indian shares with net purchases of $165.7 million worth on Tuesday.

(Reporting by Indulal PM)