Indian shares fall on higher oil prices, weak Infosys forecast

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By Bharath RajeswaranIndian shares inched lower on Friday, heading for a third consecutive session of losses, pressured by higher oil prices on Middle East tensions and a drop in IT stocks after Infosys issued a weak revenue forecast.The Nifty 50 NSE:NIFTY fell 0.66% to 24,013.75, and the BSE Sensex BSE:SENSEX shed 0.76% to 77,074.63, as of 9:37 a.m. IST.They are down 1.4% and 1.8% this week, on course to snap a two-week winning streak.All 16 major sectors declined, on the day. The broader small-caps (.NIFSCMP100) and mid-caps NSE:CNXMIDCAP fell about 0.5% each.IT index NSE:CNXIT fell 2.3%, dragged down by a 3% drop in Infosys NSE:INFY1!.The country's No. 2 IT company forecast annual revenue growth below market expectations due to macroeconomic uncertainty and tepid client spending. The outlook overshadowed better-than-expected fourth-quarter results."Growth concerns will continue to weigh on the stock," said Jefferies, adding that Infosys' FY2027 growth guidance was "disappointing amid multiple growth headwinds."Brent crude ICEEUR:BRN1! hovered around $106 after Iran displayed its grip over the Strait of Hormuz with a video of its commandos storming a cargo ship following the collapse of peace negotiations and U.S. President Donald Trump's indefinite extension of the ceasefire."Persistent uncertainties due to escalating U.S.-Iran tensions and a sharp rise in crude prices is keeping sentiment fragile," said Bajaj Broking Research."Additionally, the rupee weakening to the 94-mark, continued foreign outflows from domestic stocks and ongoing earnings announcements are adding to overall market gyrations," the brokerage said.Among other stocks, LTM (LTM.NS) fell 3.4% despite a marginal fourth-quarter revenue beat, as multiple brokerages said a weak growth outlook will lead to valuations derating.Cyient NSE:CYIENT fell 3.7% after missing quarterly profit expectations on one-time charge, higher costs.Bucking the trend, Inventurus Knowledge Solutions NSE:IKS jumped 9% after announcing a major cross-border acquisition, signing a deal to buy U.S.-based healthcare IT firm TruBridge for up to $565 million.

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