Money on the markets
A maturing market amid the mayhem
HDFC Bank, India’s second-largest private bank, rose as much as 2.4
percent to an all-time high of 2,240 rupees during trade on Thursday,
before closing 1.95 percent higher.
It was a good day for financial stocks overall, which rose on the back of rising FII inflows who have been lured by 8.5 percent economic growth forecast this year.
ICICI Bank climbed as much as 4.6 percent during trade to touch its
highest in 29 months, while SBI bucked the trend and ended marginally
The banking index has gained a whopping 17.3 percent return since July.
Would you invest in a banking stock at this stage?
HDFC Bank, India’s No 2 private sector lender surged on Monday after it
reported on Saturday that quarterly profit had risen by a third.
HDFC Bank rose as much as 2.8 percent, racing to an all-time high of
1,997.85 rupees, before closing 2.3 percent higher at 1990 rupees.
The BSE banking index fell 0.55 percent on Tuesday after gaining 3.7 percent over the last four sessions.
Shares in HDFC Bank slipped 3 percent in trade and ended as the top Sensex loser.
Banking stocks kicked off the week on a positive note, with good results from some banks sending the BSE banking index up 2.4 percent.
The Bankex was also the top sectoral gainer on the BSE.
Shares in HDFC Bank topped the list of Sensex gainers with a jump of 4.5 percent. Allahabad Bank added 4.8 percent to emerge as the top Bankex gainer.
The BSE banking index dropped 1.2 percent on Wednesday in a broader market which ended flat.
The benchmark 30-share Sensex has more than doubled from the lows in early March, registering a rise of more than 78 percent with foreign funds infusing nearly $14 billion in Indian equities.
The BSE banking index closed 2.2 percent higher on Friday despite analysts’ warning that mid-cap lenders could see muted net profit growth in the July-September quarter.
Some of the major gainers on the Bankex were Karnataka Bank (up 8.3 percent), Oriental Bank (up 6.8 percent), Union Bank (up 6.5 percent), SBI (up 5.3 percent), ICICI Bank (up 2.4 percent) and Andhra Bank (up 3.7 percent).
The stock market took cues from strong global markets and upbeat economic data from some regions.
Profit-booking continued in a market that has risen sharply since early March, dragging the benchmark down by 174 points to 15,274.
The Sensex ended 21.38 points down on Tuesday, erasing early gains of as much as 2.9 percent, as investors took profits after the market had risen more than 13 percent over the past two weeks.
Selling was seen in ONGC (down 2 percent), Reliance Communication (down 3.9 percent), Infosys (down nearly 1 percent) and Jaiprakash Associates (down 6.7 percent), while ICICI Bank, HDFC Bank and SBI were among the top gainers, rising 6.3 pct, 2.4 pct and 1.09 pct respectively.