BSE IT index plunged 4.3% to 4343 - IT outsourcing has started leading volatile Sensex down - start of high tech depression in India?
Babu Ghanta
Nov. 7, 2007

Something inevitable has started in India. As US economy and the US dollar have started plunging, Indian powerful bull leader the IT outsourcing sector is leading the benchmark Sensex into lows.

The BSE IT index plunged 4.3% to 4343. The Bankex declined 1.5% to 10,620, and the Realty index slipped 1% to 10,291. The Sensex opened with a positive gap of 152 points at 19,553, and rallied to a high of 19,679 in early deals. The index, however, could not hold gains and slipped into negative zone soon. The index, thereafter, exhibited volatile movement and slipped to a low of 19,249 - down 430 points from the day's high.

The volatility in Sensex is noteworthy. These kinds of volatility is seen when the market changes direction for the long term and starts impacting the economy. IT outsourcing has started leading volatile Sensex down. Is this the start of high tech depression in India?

IT think tanks believe Indian outsourcing companies can be badly affected by lower US Dollar and the shaky US economy.

BSE IT index plunged 4.3% to 4343 - IT outsourcing has started leading volatile Sensex down - start of high tech depression in India?
Babu Ghanta
Something inevitable has started in India. As US economy and the US dollar have started plunging, Indian powerful bull leader the IT outsourcing sector is leading the benchmark Sensex into lows.
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