Rupee Hits Record Low: Infosys, Persistent, Mphasis Shares Soar

• Infosys, Persistent, Mphasis shares gained significantly after the rupee hit a fresh record low of 92.28 against the US dollar.
• A weaker rupee benefits IT companies as a large share of their revenue comes from North America and is billed in dollars, boosting rupee realisations and operating margins.
• The Nifty IT index was the only sectoral gauge in positive territory, with Infosys emerging as the top gainer.
• Analysts estimate a 1% fall in the rupee translates to a 15-25 basis point margin expansion for large IT services firms.
• Historically, sharp crude oil price spikes have often coincided with rupee weakness, with the currency falling from ₹17 in 1991 to ₹92 now.