IT stocks to breathe easy next week

Indian IT majors are likely to breathe easy in the upcoming week after a close aide of President Donald Trump said that the proposed executive order to tighten H-1B visa regulations is aimed at curbing fraud and is not a blanket punitive measure against Indian professionals.

This statement comes amid certain media reports suggesting that the present US government will introduce a tough regulation for H-1B visas that might have wide scale ramifications on the Indian IT company's operating in the US.
 
Post the visa developments, Indian IT stock has been battered very badly as it would impact margins of the IT major going forwards and therefore, increase their hiring process of low-skilled US IT professional to carry out offshore projects.
 
In the light of this, IT index lost more than 3 per cent during the week however, it managed to recoup some losses to close down around 1.5 per cent at the end of the week.
 
Post this news, the companies would take some positives and remain stable and watch out for future development in context to H-1B visa saga.