MUMBAI: Banking stocks came under heavy selling pressure on Monday, with the Bank Nifty index falling over 2 per cent in the early trade, as the Reserve Bank of India’s (RBI) recent measures aimed at supporting the rupee came into effect.
All constituents of the Bank Nifty traded in the red, indicating broad-based weakness across the banking pack. The index declined as much as 2.65 per cent, or 1, 386.45 points, to 50, 888.15, hitting an intraday low around 10:45 a.m. It was trading about 3.5 per cent, or nearly 1, 700 points, above its 52-week low of 49, 156.95.
AU Small Finance Bank declined 4.24 per cent, Axis Bank fell 4.25 per cent, Kotak Mahindra Bank dropped around 4 per cent, while IDFC First Bank slipped 4.17 per cent. IndusInd Bank was down 3.79 per cent, Bank of Baroda fell 3.68 per cent, Yes Bank declined 3.53 per cent and Canara Bank slipped 3.51 per cent. Federal Bank, HDFC Bank and ICICI Bank also traded lower by up to 3 per cent.