Bank Nifty Hits Record High: Kotak Mahindra, Federal, Axis, Bandhan, PNB, AU Small Finance Among Top Gainers

Banking stocks continued their strong upward trend on Monday, driven by investor enthusiasm following the Reserve Bank of India's (RBI) announcement on June 6 to cut both the repo rate and the Cash Reserve Ratio (CRR). Nifty bank stocks surged, driving the Bank Nifty to an all-time high of 57,049 in early trade. This was the first time the index went above 57,000. It was also the second consecutive day the index set a new record, following Friday's high of 56,695.

Bank Nifty Stocks Today on June 9

The Bank Nifty index has jumped 2.3%, or 1,289 points, over two sessions following the RBI's announcement of a 50 basis point (bps) rate cut on Friday. Additionally, a substantial 100 bps reduction in the Cash Reserve Ratio (CRR) eased liquidity constraints for banks, boosting optimism about increased lending activity at lower interest rates.

Top Gainers Today: Bank Stocks

In line with this trend, the BSE Bankex also gained nearly 1%, rising 621 points to close at 64,176 on Monday. Among the top performers on the Bankex were Kotak Mahindra Bank (up 3.06%), Federal Bank (2.44%), Canara Bank (2.19%), Axis Bank (2.03%), and IndusInd Bank (1.55%), all of which saw strong gains during the session.

• Kotak Mahindra Share Price: Kotak Mahindra Bank Ltd (KOTAKBANK) is trading at Rs 2,136.80, up by 3.06%.
• Federal Bank Share Price: Federal Bank Ltd (FEDERALBNK) is trading at Rs 212.86, gaining 2.44%.
• AU Small Bank Share Price: AU Small Finance Bank Ltd (AUBANK) is trading at Rs 765.95, with an increase of 2.19%.
• Axis Bank Share Price: Axis Bank Ltd (AXISBANK) is trading at Rs 1,220.20, up 2.14%.
• PNB Share Price: Punjab National Bank (PNB) is trading at Rs 112.34, up by 1.96%.

Bandhan Bank Share Price

As of June 9th at 2:02 PM, Bandhan Bank Ltd (NSE: BANDHANBNK) is trading at Rs 185.79, reflecting a strong gain of Rs 12.24 or 7.05% for the day. The sharp rise indicates positive investor sentiment and strong buying interest in the stock during the trading session.

Top Losers Today: Bank Nifty Share Price

While several banking stocks saw gains, ICICI Bank and HDFC Bank traded in contrast, showing weakness during the session. ICICI Bank is trading at Rs 1,439.50, down 1.38% at 2.13 pm on June 9, indicating profit booking or subdued investor sentiment. Meanwhile, HDFC Bank stocks are trading marginally lower at Rs 1,978.40, slipping 0.02% on Monday.

The repo rate, which is the rate at which the RBI lends money to commercial banks, plays a key role in determining borrowing costs in the economy. The CRR refers to the percentage of a bank's total deposits that must be maintained with the RBI in the form of liquid cash, with no interest paid on it. A reduction in the CRR increases the amount of funds available with banks for lending, thereby boosting liquidity in the system.