IT stocks hit by TCS downgrade, Cognizant

Worries about earnings hit Indian software services exporters, which weighed on the the main index. TCS falls 4% after JPMorgan downgraded it to 'neutral' from 'overweight' saying the stock price was now 'fully valued' at current 19 time forward fiscal 2013 earnings.

Shares in the sector were also hit after US rival Cognizant Technology Solutions Corp lowered its full-year forecast, citing weak demand from North American financial services clients.

Second-ranked Infosys lost 3% on the day. The National Stock Exchange's IT index is flat for May as of Monday's close, compared with a 2.6% fall in the Nifty.