SBI, BoB: After stellar rally, can PSU banks still offer good returns?

If the stock of SBI fails to conquer the resistance of Rs 425-mark, some weakness is likely near the support of Rs 410 levels

Financial sector stocks, especially the public banks, have been on a gradual upward trend during the month of June. Privatisation buzz, strong earnings and fund-raising plans have lent confidence to investors which resulted in buying in these names. The stocks did see some weakness recently but the positive sentiment remains intact, charts show.

Union Bank shares, for instance, have gained over 12 per cent so far in June while UCO Bank has surged 5 per cent. Notably, Union Bank, said on Thursday, it has raised Rs 850 crore while UCO Bank has received Board's nod to raise up to