Bank stocks shine; drive Sensex higher

Bank stocks were on buyers radar today, surging as much as 4.2 per cent on hopes that the RBI will hold rates in its upcoming policy review next month.
Shares of ICICI Bank surged 3.71 per cent, while HDFC Bank rose by 2.53 per cent at the BSE.
The two blue-chip banking stocks together added 99.38 points to the overall market gain where the Sensex surged 300.16 points or 1.38 per cent to 22,055.48 -- its record closing.
Among others, IndusInd Bank rallied 4.16 per cent, while Kotak Mahindra Bank Ltd soared 3.81 per cent, PNB rose by 3.05 per cent, Axis Bank by 1.53 per cent, Bank of Baroda by 1.40 per cent and SBI by 1.35 per cent.

Led by the gains in these stock, the BSE banking index rose by 2.73 per cent to 14,179.83, becoming the top gainer among the 13 sectoral indices.
Marketmen said that rate-sensitive sectors are attracting buying ahead of RBI monetary policy on April 1.
"The much awaited breakout was triggered mainly by buoyancy in banking counters as investors have started eyeing the RBI policy review scheduled on April 1. Majority expects there would be no change in the key policy rates," said Jayant Manglik, President-retail distribution, Religare Securities Limited.