Nifty PSU Bank up 4% in one week;Canara, Syndicate, Dena Bank up over 15%

Nifty PSU Bank index was up 4% thus far in current week, set to record its biggest weekly gain since November 2017.

Shares of public sector banks (PSBs) were in focus with the Nifty PSU Bank index rising 4% thus far in current week,  to record its biggest weekly gain since November 2017.

At 11:05 am; Nifty PSU Bank index was trading 1.26% higher at 2,977, gaining 4% thus far in the current week.

Syndicate Bank, Allahabad Bank, Oriental Bank of Commerce, Dena Bank and Canara Bank were up more than 15% so far in the current week. IDBI Bank, Andhra Bank, Central Bank of India, Indian Bank, Bank of Baroda, Corporation Bank and Union Bank of India up in the range of 10% to 15%.

The index posted its sharpest weekly gain since November 5, 2017, when it had gained 4%, after extending its 30% surge in the last week of October when the government announced banks recapitalization plan.

Between February 14 and March 9, 2018, most of the PSBs have fallen in the range of 10% to 40% on reports of cheating/fraud cases in several government-run banks. In past six weeks, the Nifty PSU Bank index had fell 24% as compared to 7.6% decline in the Nifty 50 index.

According to Business Standard report, PSBs have decided to further tighten lending to corporates by asking promoters to give equity upfront and assessing the quality of equity by verifying the loss absorption capacity of firms.

PSBs will discourage multiple banking arrangements for companies with exposure of more than Rs 2.5 billion in the banking system and will move all such loans under the consortium of banks for better monitoring, added report. CLICK HERE TO READ FULL REPORT

COMPANY	LATEST	1-WEEK BEFORE	GAIN(%)
SYNDICATE BANK	64.30	54.30	18.42
ALLAHABAD BANK	53.20	45.45	17.05
ORIENTAL BANK	105.50	91.25	15.62
CANARA BANK	271.10	235.20	15.26
DENA BANK	21.60	18.75	15.20
IDBI BANK	81.00	70.70	14.57
ANDHRA BANK	43.95	38.50	14.16
CENTRAL BANK	86.05	76.45	12.56
INDIAN BANK	311.80	278.05	12.14
BANK OF BARODA	146.30	131.50	11.25
UNION BANK (I)	104.05	93.60	11.16
CORPORATION BANK	32.85	29.60	10.98
BANK OF INDIA	107.05	97.55	9.74
VIJAYA BANK	58.50	53.40	9.55
UNITED BANK (I)	13.20	12.18	8.37
PUN. & SIND BANK	37.65	35.20	6.96
PUNJAB NATL.BANK	101.40	95.50	6.18