The BSE Sensex closed the day higher by 38 points, while the Nifty ended the day with gains of 12 points. Leading the set of losers from the Nifty were banking stocks like ICICI Bank, State Bank of India and IndusInd Bank.
But, the real story in trade today was that of PSU Banking stocks which fell off the cliff. Syndicate Bank ended the day with a huge cut of 7 per cent, while Indian Overseas Bank, IDBI Bank and Oriental Bank of Commerce saw losses of more than 6 per cent. Andhra Bank ended the day lower by 7 per cent, as bribery, inflation and worries over non performing assets continued to weigh down these stocks.
Almost all of the defensive stocks ended the day higher led by gains in ITC and Hindustan Unilever. IT stocks rallied today as investors shifted attention to defensives and also on account of losses in the rupee. Sun Pharma had a good session in trade with the stock gaining almost 2 per cent after better than expected results.
Mid cap stocks plunged in trade with Unitech dropping a huge 16 per cent, while IFCI lost 8 per cent and Jain irrigation dropped 7 per cent in trade.
Meanwhile, markets in Europe were trading higher led by gains in the German DAX and French CAC.