Money on the markets
A maturing market amid the mayhem
It was a good day for banking counters, as the banking index ended with gains of 1.5 percent in a Mumbai market that ended 200 points higher.
HDFC Bank was the top gainer in the index, ending up 4.15 percent, followed by IndusInd Bank which gained 2.4 percent. Federal Bank was the only stock in the index which ended in red.
The banking index is down 5.5 percent in 2011, while HDFC Bank is down 7 percent, and ICICI is down 7.5 percent during the same period.
Do you think banking stocks are worth buying at this stage?
It was a good trading session for banking counters, with the BSE banking index gaining more than 2 percent and ending as the top sectoral gainer, as fund managers bet the sector would benefit from a booming domestic economy.
Shares in Bank of India gained 5.4 percent to end as the top Bankex gainer, followed by IDBI which gained 4.3 percent.
The BSE Banking Index outperformed other indices on Tuesday, gaining nearly 1 pct in a flat Mumbai market, with stocks like Bank of Baroda and IDBI posting good gains.
Optimism over loan demand in a growing economy is helping banking stocks, but rising interest rates is a concern as this could push up costs for manufacturers and tighten their margins.
The BSE Banking index ended down 0.6 percent on Friday as the top sectoral loser, with all but one stock in the index ending the day in red.
Top losers included Federal Bank, which slipped 2.3 percent and IDBI, which ended down 1.4 percent. Shares in SBI, India’s top lender, ended down 1 percent.
Shares in ICICI Bank rose as much as 4.2 percent in trade before closing 3.9 percent up after the lender posted a 17-percent rise in quarterly net profit on Saturday.
India’s top private lender also forecast a 15-percent credit growth in FY 2011 as loan demand from corporate and mortgage borrowers remain strong.
The BSE Banking index rose nearly 1 percent on Thursday as banks shrugged off rising trend in rates and climbed on hopes robust economic growth will boost demand for loans.
Federal Bank shares gained 2.6 percent and ended as the top gainer in the index, followed by Bank of Baroda which gained 2.5 percent.
Various banking stocks were under pressure on Monday on concerns the Reserve Bank of India (RBI) would further hike interest rates.
The Bankex closed down 0.84 percent with 12 of 17 components in red.
Allahabad Bank and Bank of Baroda were the worst performers in the index, losing over 3 percent. Bigger players like ICICI Bank dropped 1.2 percent while SBI slipped 0.7 percent in trade.
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.
Leading the pack was Indian Overseas Bank which jumped over 7 percent, and Federal Bank which gained 3.1 percent. Bigger peers like SBI and ICICI ended the day in the red.