PSU banks extend gain; SBI nears 52-week high

Nifty PSU Bank index was up 7% in past five trading days against 0.97% gain in Nifty 50 index.

Shares of public sector banks (PSBs) were trading higher for the fifth straight trading sessions, gaining 7% on the National Stock Exchange (NSE), on the premise that the asset quality issues faced by them would largely be comprehended and quick resolutions to be bought about for them.

At 10:23 am; the Nifty PSU Bank index, the largest gainer among sectoral indices, was up 0.88% at 3,463 as compared to 0.3% rise each in Nifty 50 and Nifty Bank index.

Nifty PSU Bank index hit an intra-day high of 3,467, is 1.3% or 45 points away from its 52-week high of 3,512 touched on February 6, 2017.

In past five trading sessions, the index rallied 7% against 2.4% rise in the Nifty Bank index and 0.97% gain in Nifty 50 index.

Among the individual stocks, State Bank of India (SBI) was up 1.3% at Rs 286 on the NSE. The stock hit an intra-day high of Rs 286, is less than 1% away from its 52-week high of Rs 289 touched on November 11, 2016.

Promising a solution to the growing non-performing assets (NPA) problem in the next few days, Finance Minister Arun Jaitley on March 24 said the resolution being worked out with the RBI will put enough pressure on borrowers to settle dues. CLICK HERE FOR FULL REPORT.

According to Business Standard reports, the Reserve Bank of India (RBI) will likely find itself in the driver’s seat in the war against bad debt — closely monitoring big-ticket restructuring and even getting to decide the haircut to be taken by banks. CLICK HERE TO READ FULL REPORT.

Punjab National Bank (PNB), Bank of India (BOI), Bank of Baroda (BoB) and Syndicate Bank have risen more than 7% each in past five trading sessions.

Bank	22/03/2017	LTP	% chg
PNB	136.40	147.90	8.4
Bank of India	125.80	136.30	8.3
Bank of Baroda	161.60	174.40	7.9
Syndicate Bank	66.50	71.45	7.4
SBI	267.50	285.55	6.7
Vijaya Bank	61.80	65.70	6.3
Allahabad Bank	69.15	73.40	6.1
Union Bank (I)	147.50	156.35	6.0
Canara Bank	282.25	297.70	5.5
Central Bank	97.00	102.15	5.3
Corporation Bk	46.80	48.85	4.4
Indian Bank	257.65	266.95	3.6
UCO Bank	35.35	36.40	3.0
IDBI Bank	75.60	76.15	0.7
I O B	26.40	26.55	0.6
Nifty PSU Bank	3241.00	3462.80	6.8
Nifty 50	9030.45	9122.15	1.0
LTP: Last traded price on NSE in Rs at 10:34 am
Top 15 PSU banks as per market-cap