PSU banks trade firm in a volatile market; SBI scales fresh record high

In Q2, Motilal Oswal Financial Services estimates PSBs to report improved operating performance, supported by modest business growth and a gradual reduction in provisions.

Shares of public sector banks (PSBs) were on a firm footing in an otherwise volatile market today, with the sector giant State Bank India (SBI) trading at a new high on the expectation that the valuations for the sector would rerate upwards, driven by an uptick in credit offtake going ahead.

At 01:47 pm, the Nifty PSU Bank index, the top gainer among sectoral indices, was up 1.8 per cent, as compared to a 0.45 per cent decline in the Nifty50 index.

SBI hit a new high of Rs 507.50 as the shares rallied 4 per cent in intra-day trade today. In