Nifty PSU Bank hits fresh 19-month low; 8 banks hit respective 5-year lows

Andhra Bank, Union Bank of India, IDBI Bank, Oriental Bank of Commerce, Bank of India and Canara Bank were down more than 3% on the NSE.

Shares of public sector undertaking (PSU) banks continued to be under pressure with the Nifty PSU Bank index hitting a fresh 19-month low as banking stocks once again succumbed to heavy selling pressure in the wake of reports that Union Bank of India has direct credit exposure of about Rs 1.20 billion to companies controlled by jeweler Nirav Modi, and another Rs 1.75 billion to Gitanjali group of companies.

The Nifty PSU Bank index slipped 2.2% to Rs 2,794, hitting its lowest level since August 8, 2016. At 11:15 am; the PSU bank index, the sole loser among sectoral indices, was down 2.1%, as compared to 0.98% rise in the Nifty 50 index.

Andhra Bank, Union Bank of India, IDBI Bank, Oriental Bank of Commerce, Bank of India and Canara Bank were down more than 3% on the National Stock Exchange (NSE).

Out of 21 listed PSU banks, as many as eight banks - Andhra Bank, Union Bank of India, Uco Bank, United Bank of India and Corporation Bank - touched a five-year low today.

According to Business Standard report, both the Enforcement Directorate (ED) and the Serious Fraud Investigation Office (SFIO) has waded into the ~54-billion loan to the Usha Martin group owed to a consortium of lenders headed by State Bank of India (SBI). CLICK HERE TO READ FULL REPORT

COMPANY	LATEST	PREV CLOSE	LOSS(%)
ANDHRA BANK	33.80	38.50	-12.21
IDBI BANK	65.60	70.70	-7.21
UNION BANK (I)	88.90	93.60	-5.02
ORIENTAL BANK	86.85	91.25	-4.82
PUN. & SIND BANK	33.65	35.20	-4.40
CENTRAL BANK	73.20	76.45	-4.25
BANK OF MAHA	14.20	14.80	-4.05
BANK OF INDIA	94.05	97.55	-3.59
CANARA BANK	227.35	235.20	-3.34
ALLAHABAD BANK	44.20	45.45	-2.75
SYNDICATE BANK	53.05	54.30	-2.30
PUNJAB NATL.BANK	93.40	95.50	-2.20
CORPORATION BANK	29.00	29.60	-2.03
DENA BANK	18.45	18.75	-1.60
ST BK OF INDIA	249.20	253.15	-1.56
UNITED BANK (I)	11.99	12.18	-1.56
VIJAYA BANK	52.60	53.40	-1.50
UCO BANK	23.60	23.95	-1.46
BANK OF BARODA	129.80	131.50	-1.29