Nifty PSU Bank index nears four-year low; six banks tumble to 5-year low

The fall comes amid weakening economic trends that can lead to subdued credit growth and continued elevated fresh stress formation in the immediate term.

Shares of public sector banks (PSBs) continued to reel under pressure on Tuesday with the Nifty PSU Bank index nearing its four-year low level. The index hit intra-day low of 2,078.80, its lowest level since March 1, 2016, when it touched 2,053.60 levels in intra-day trade. It dipped below its previous low of 2113.05 levels hit on October 9, 2019. In past three trading days, Nifty PSU Bank index has slipped 7.9 per cent as against 2 per cent fall in the benchmark index.

Among stocks, Bank of Baroda (BoB), Punjab National Bank (PNB), Union Bank of India, Oriental Bank