Banking stocks were the major drivers of overall stock exchanges during Tuesday's trading session. At around 12.18 pm, Nifty Bank was trading at 29,571.60 up 547.40 points or 1.89%. The index has surged by over 600 points and touched an intraday high of 29,635.70 in early deals.
On the index,
RBL Bank was in the fast lane, trading at Rs224.50 per piece up 5.57%, followed by
Axis Bank at Rs616.20 per piece surging by 3.46% and HDFC Bank at Rs1,430.45 per piece soaring by 2.57%.
Majority of private banks were top performers on the index.
Other stocks that gained were
ICICI Bank, Kotak Bank, SBI and
Bandhan Bank advancing between 1-2%.
However,
IDFC First Bank which was the top gainer on Monday reversed its trend and was trading at Rs35.85 per piece down 2.71% as the top underperformer.
Stocks that also tumbled were
Bank of Baroda, IndusInd Bank, Federal Bank and PNB between 0.5-1.5%.
The sectoral index has been performing on the upside since the start of this week after Reserve Bank of India (RBI) released an Internal Working Group (IWG) report examining extant ownership guidelines and corporate structure for Indian private sector banks.
The Terms of Reference of the IWG inter alia included a review of the eligibility criteria for individuals/ entities to apply for banking license; examination of preferred corporate structure for banks and harmonisation of norms in this regard; and, review of norms for a long-term shareholding in banks by the promoters and other shareholders, said RBI.