Banking stocks tumble post policy review

The BSE Banking index could not recover and ended with a loss of 4% at 9,679. The index had touched a low of 9,633 - down 5% from the day's high.

ICICI Bank slumped 6% to Rs 836. Earlier in the day the stock touched a low of Rs 829. Around 1.66 million shares were traded on the BSE today.

SBI shed 4.5% at Rs 2,203 after touching a low of Rs 2,186. Over 1.68 million shares changed hands at the counter today.

HDFC Bank was down 1% at Rs 1,671 with trades of over 96,140 shares.

Indian Overseas Bank crashed 8.3% to Rs 118. IDBI Bank plunged 7.5% to Rs 122.

Indus Ind Bank and Oriental Bank of Commerce tanked 7% each to Rs 124 and Rs 246, respectively.

Canara Bank, Yes Bank, Karnataka Bank, Federal Bank, Allahabad Bank, Bank of India and Kotak Bank were the other major losers and dipped 2-6% each.

However, Union Bank managed to hold on to gains and added 3.2% to Rs 256.
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(Updated at 1218 hrs)

All the banking stocks barring the Union Bank have been hammered badly following the announcement of the RBI credit policy review in which although the central bank kept rates unchanged but hikes SLR by 100 basis points. Also the RBI warned of higher inflation projection with an upside bias.

The BSE Bankex is down 3% at 9,740.

ICICI Bank is the major loser, down 4.5% at Rs 849. The stock opened at Rs 879 and zoomed to a high of Rs 899. The counter has clocked volumes of 825,942 shares as compared to the two-week daily average traded volumes of 793,036 shares.

SBI has declined 4% to Rs 2,210. The counter has witnessed trades of 876,579 shares on the BSE.

Federal Bank, Indian Bank, Canara Bank, Allahabad Bank, Yes Bank and Industrial Bank have slipped over 4% each.

Karnataka Bank, IDBI Bank, Kotak Bank and Bank of Baroda are the other prominent losers, down 1.5-3.5% each.

The Union Bank on the other hand is the only gainer, up 2.5% at Rs 254.