NEW DELHI: PSU bank stocks were in the sweet spot during the first half of Monday's trade.Six more state-run banks are at risk of entering the Reserve Bank of India's prompt corrective action (PCA) framework, ET reported citing officials.
These include Punjab National Bank, Union Bank of India and Syndicate Bank, they said, adding that this may reduce the chances of the finance ministry's plans to sell the good loans of weak banks to stronger lenders coming to fruition.
The Nifty PSU Bank index was trading 1.71 per cent up at 3,071 around 11 am with most components in the green.
Shares of Punjab National Bank (up 4.15 per cent) was the top gainer in the PSU bank index.It was followed by Bank of India (up 1.89 per cent), Bank of Baroda (up 1.70 per cent), Union Bank of India (up 1.63 per cent) and State Bank of India (up 1.63 per cent).Shares of Canara Bank (up 1.57 per cent), Oriental Bank of Commerce (up 1.51 per cent), Indian Bank (up 1.06 per cent), Syndicate Bank (up 0.89 per cent), Allahabad Bank (up 0.76 per cent) and Andhra Bank (up 0.67 per cent) were also witnessing traction in their shares.Benchmark NSE Nifty50 index was up 47 points at 10,814, while the BSE Sensex was up 126 points at 35,570.Among the 50 stocks in the Nifty index, 36 were trading in the green, while 13 were in the red.
Bajaj Finance, Godrej Consumer Products, Infosys, Nestle India and United Breweries hit 52-week highs on NSE on Monday.