Bank stocks run the correction course

DALAL STREET SPIKES

Select bank stocks lost ground after a sharp rally in yesterday's trading. Among the top losers in the banking sector were""Karnataka Bank, down 8.68 per cent to Rs 106.75, Karur Vysya Bank, down 5.65 per cent to Rs 436.65, South Indian Bank, down 5.46 per cent to Rs 58.85, IndusInd Bank, down 5.09 to Rs 72.75 and Indian Overseas Bank, down 4.27 per cent to Rs 79.65.

Sources said, stocks such as Karnataka Bank spurted on rumours that Reliance Capital may pick up stake in the company. However, the stock lost ground on overall selling pressure.

Federal Bank, however, managed to buck the overall negative trend and was up 2.83 per cent to Rs 176.25, Corporation Bank, up 2.62 per cent to Rs 386.30, Union Bank, up 0.67 per cent to Rs 111.90, Syndicate Bank, up 0.63 per cent to Rs 56 and Bank of Maharashtra was up 0.61 per cent at Rs 33.20.