Banking stocks which were hammered down ever since the RBI Monetary Review, saw some recovery in trade. Punjab National Bank, State Bank of India and Federal Bank were among the gainers. Private sector banks like Axis Bank and Yes Bank also saw some recovery in trade.
Banking stocks were hammered in trade after the RBI held policy rates steady. To compound worries a poor set of results from Indian Overseas Bank, Punjab National Bank, Bank of Baroda and Union Bank of India have also raised fresh concerns for the banking sector.
IDBI Bank is scheduled to report results later today and a poor set of results could further lead to selling pressure in banking stocks.