Tariffs weigh on Indian IT firms’ earnings; Jerome Powell flags US spending dip

News Snapshot:

Top Indian IT software exporters to the US are reporting weaker-than-expected earnings and have expressed uncertainty over wage increases, as tariffs begin to weigh even on the services sector amid concerns about declining discretionary spending in the US. This comes as Federal Reserve Chair Jerome Powell also said that recent changes in US trade policy are likely to cause “at least a temporary” rise in inflation and “delays in investment decisions”. India’s second-largest IT company, Infosys, on Thursday reported an 11.7 per cent decline in consolidated net profit for the March quarter, citing weak macroeconomic conditions triggered by the US-led...