** Nifty IT .NIFTYIT index up 0.8%

** BofA says concerns over Accenture's costly M&A deals are likely unique to the bellwether co, not applicable to the broader sector

** Notes that Accenture's weak quarterly sales forecast, lowered annual revenue guidance and softer managed services bookings are expected to weigh on Indian IT sector sentiment

** Says near-term demand outlook from Indian IT cos for AI services modest, but long-term growth path noticeably firmer

** Says while the sector still lacks a hard near-term trigger, strategic positioning around AI has become more confident and central to the narrative

** YTD, index down 26.8%