Bank Nifty Bounces Back from Lows: Roars Back 900 Points Led by SBI Rally

14 Feb 2024 , 04:16 PM

During today’s market session, the Bank Nifty index experienced a significant rebound, surging by over 900 points from its lowest point of the day. This surge propelled the index firmly into positive territory, trading above 45,700 on February 14, just ahead of the weekly expiry. Driving this upward momentum were notable gains in stocks of key financial institutions such as State Bank of India (SBI), Bank of Baroda, Punjab National Bank, Axis Bank, and ICICI Bank.

Among these, SBI shares particularly stood out, witnessing an impressive nearly 5% increase, reaching a 52-week high of ₹747 per share. This surge in SBI’s stock price reflects growing investor confidence in public sector lenders.

In recent trading sessions, public sector banks have garnered significant attention, partly due to revelations in the budget indicating a lower borrowing program than previously anticipated. Additionally, the reduced fiscal deficit target of 5.1% of GDP for FY25 has contributed to a more favorable macroeconomic outlook, further bolstering investor sentiment towards these banks.