Indian IT stocks fell in early trade as the Wall Street technology selloff spread to Dalal Street. Rising crude, higher US yields and geopolitical worries added to expectations of near-term volatility.

Tech Mahindra's stronger June-quarter earnings lifted IT shares, with Infosys, TCS and HCLTech joining the rally while Wipro fell. The divergent moves highlighted improving confidence in stronger performers as investors watched the sector's earnings season.

TCS, Infosys, HCLTech and LTIMindtree rose even as the Sensex and Nifty traded lower on Monday. The move reflects bargain hunting, rupee support and hopes that the sector's worst sell-off may be easing.