Bank Nifty Tops 56,600, SBI Shares Near All-Time Highs; Key Points For Investors
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Banking stocks extended their rally on Friday, pushing the Bank Nifty index above the key 56,600 level in morning trade
Banking stocks extended their rally on Friday, pushing the Bank Nifty index above the key 56,600 level in morning trade, up 0.76 percent. Public sector banks led the surge, with State Bank of India (SBI) and Punjab National Bank (PNB) shares rising over 2 percent each.
By 10:40 am, Bank Nifty was trading at 56,617.65, while the Nifty 50 gained 0.40 percent to 25,283.55 and the Sensex climbed 0.43 percent to 82,525.09. Over the past year, the banking index has significantly outperformed the broader market, rising nearly 10 percent compared with the Nifty 50’s 1.1 percent gain.
Top Performers in Banking
Among the leading gainers, SBI jumped 2.2 percent to Rs 881.25, PNB surged 2.3 percent to Rs 116.93, and Axis Bank added 1.45 percent to Rs 1,184.40. HDFC Bank and ICICI Bank posted modest gains of 0.5 percent and 0.44 percent, respectively.
Technical Outlook: Potential Breakout in Bank Nifty
Analysts noted improving sentiment in the banking sector following a brief consolidation. Amruta Shinde, Technical & Derivative Analyst at Choice Broking, said, “Bank Nifty has mirrored the positive bias, with support in the 55,900–55,800 range and resistance near 56,500–56,600. A clear breakout above this zone may be required to sustain the uptrend.”
Vaishali Parekh, Vice President – Technical Research at PL Capital, added, “The index has shown a decent recovery after holding above its 100-period SMA near 55,700. Once it decisively crosses 56,500, we could see a further move toward the 57,700 level in the coming days.”
Market Sentiment Buoyed by Global and Domestic Factors
Easing geopolitical tensions and improving foreign investor flows have supported the broader market. V K Vijayakumar, Chief Investment Strategist at Geojit Financial Services, said, “The Gaza peace accord signals an end to the conflict, reducing geopolitical risk. Domestically, indications of a US-India trade deal and three consecutive sessions of FII buying in the cash market are positive for equities.”
With PSU lenders leading the gains and technical charts suggesting a potential breakout, market participants are closely watching for a sustained close above 56,600 to confirm the next leg of the banking sector rally.
Disclaimer: The views and investment tips by experts in this Business.com report are their own and not those of the website or its management. Users are advised to check with certified experts before taking any investment decisions.
