Nifty PSU Bank index records second biggest fall in 2018; PNB slips 10%

PNB, Bank of India, Oriental Bank of Commerce, Allahabad Bank and Canara Bank were down more than 5% on NSE.

Nifty PSU Bank index has dipped nearly 5% on Wednesday after the Reserve Bank of India (RBI’s) revised framework on resolution of stressed assets and the detection of about $1.77 billion fraudulent and unauthorised transactions by the Punjab National Bank (PNB) at one of its branches in Mumbai.

Nifty PSU Bank, the largest loser among sectoral indices, ended 4.8% lower at 3,307 today, recorded its second sharpest single day fall of the current calendar year 2018. Earlier on January 25, 2018, the index had slipped 5.2% as investors showed their disappointment with the government’s plan to infuse Rs 880