Pre-Market Update: GIFT Nifty Signals 100-Point Firm Start After Sell-Off; IT Earnings, Crude Oil and RBI Liquidity in Focus
GIFT Nifty indicated a 100-point gain for Indian equities after a prior session decline. Tata Consultancy Services (TCS) reported Q2 earnings with a 4% profit increase and $3.1B in AI revenue. U.S. labor certification processing for IT firms is suspended. RBI to conduct a 10-day liquidity auction. Brent crude fell 0.48% to $103.62. TCS, JSW Steel, and P N Gadgil Jewellers provided business updates.
How this was made

The 30-second read
Why it matters
Regulatory action introduces short‑term risk for Infosys and Wipro, while TCS's earnings show robust growth, creating a mixed outlook for the sector.
Market read
TCS earnings could boost the IT sector, but the PERM suspension adds downside risk for Infosys and Wipro, influencing Indian market sentiment.
What to watch
TCS's strong earnings and AI revenue growth could offset regulatory concerns for the sector.
Background
The article provides a pre‑market snapshot of Indian markets, highlighting TCS earnings and a new U.S. labor‑certification suspension affecting major Indian IT firms.
Ticker impact
U.S. Department of Labor suspended PERM processing for Infosys, potentially limiting its U.S. hiring and affecting its stock.
potential pressure as market prices in regulatory headwinds
Regulatory action directly impacts Infosys' ability to staff U.S. projects, a key revenue source.
Wipro is also listed among firms affected by the PERM suspension, exposing it to similar hiring risks.
likely pressure as investors reassess U.S. growth exposure
The same labor certification halt applies to Wipro, creating comparable risk.
Market effects
Indian IT sector may see broader risk reassessment due to labor certification suspension.
Potential drag on Indian equity indices, especially the IT-heavy Nifty IT sub-index.
Limited to investors with exposure to Indian IT exporters and U.S. hiring pipelines.
Counterpoint
The PERM suspension may be temporary and not materially affect long-term contracts, offering a buying opportunity.
Key entities
- companyTata Consultancy Services
Reported Q2 FY27 earnings with AI revenue growth and a $9.6 bn contract backlog.
- companyInfosys
Subject to U.S. Department of Labor PERM processing suspension.
- companyWipro
Also affected by the PERM suspension.



