PSBs recover from day's low as reports say govt may announce merger plan

Shares of public sector banks (PSBs) were trading mixed on the National Stock Exchange (NSE) on Friday afternoon, after reports said the government is set to make an announcement anytime soon regarding mega plan for state-owned bank’s merger.

Oriental Bank of Commerce, Central Bank of India, Syndicate Bank and Allahabad Bank were up in the range of 3 per cent to 6 per cent on the NSE.

On the other hand, State Bank of India (SBI), Union Bank of India, Bank of India, Indian Bank and Bank of Baroda were down between 1 and 2 per cent. However, most of these banks recovered from their respective intra-day lows. Bank of Baroda was down 1 per cent at Rs 91. Earlier, it hit a 52-week low of Rs 89, down 3 per cent. 

At 02:07 pm, Nifty PSU Bank index was trading 0.20 per cent at 2,445 levels, recovering 2 per cent from its intra-day low of 2,397. In comparison, the benchmark Nifty 50 index was  trading 0.28 per cent higher, bouning back one per cent from day’s low.

The department of financial services in the finance ministry has called a meeting with chief executives of ten public sector banks, which are seen as top contenders for merger, on Friday, said a Business Standard report.

The banks invited for consultations on Friday include Union Bank of India, Canara Bank, Punjab National Bank, United Bank, Oriental Bank of Commerce, United Bank, Allahabad Bank, Corporation Bank, Syndicate Bank and Andhra Bank, the report added. CLICK HERE TO READ FULL REPORT

ORIENTAL BANK 66.80 72.65 71.70 7.34
J & K BANK 37.00 39.40 39.30 6.22
CENTRAL BANK 18.90 20.10 19.85 5.03
SYNDICATE BANK 30.10 31.50 31.40 4.32
INDIAN BANK 183.60 194.50 190.00 3.49
ALLAHABAD BANK 34.00 35.50 34.95 2.79
PUNJAB NATL.BANK 63.35 65.90 64.75 2.21
BANK OF BARODA 89.10 93.55 91.05 2.19
CANARA BANK 216.75 224.65 220.85 1.89
BANK OF INDIA 63.75 67.00 64.90 1.80
UNION BANK (I) 57.60 60.40 58.35 1.30
ST BK OF INDIA 266.85 277.95 269.95 1.10

Business Standard is now on Telegram.
For insightful reports and views on business, markets, politics and other issues, subscribe to our official Telegram channel