State Bank of India (SBI) shares soared more than 5 per cent in afternoon trades, amid broad-based buying in the equity markets as the country entered 1st phase of the 3-phase unlock plan, post the lockdown imposed on March 25 to check the spread of Covid-19 disease. The shares of SBI out-performed the benchmark indices, which had gained 3 per cent. At 12:15 pm, the shares were trading at Rs 169, higher by Rs 8 or 5.1 per cent, on the BSE. The shares had opened the day at Rs 164 and touched an intra-day high of Rs 169 and a low of Rs 163 thus far.
The Nifty Bank index had jumped by 4 per cent to 20,076.55 on the back of the rally in SBI and strength on other banking counters. Other banking heavyweights such as HDFC Bank, ICICI Bank and Bank of Baroda, which gained 3-4 per cent each.
Last week, State Bank of India had extended the moratorium on loan EMIs automatically by another three months in loan accounts of all eligible customers without waiting for their request. This was in line with the decision of the Reserve Bank of India to extend the moratorium on loan EMIs by three months, i.e. till August 31, 2020. The earlier three-month moratorium ended on May 31.
The BSE Sensex had gained 1,191 points or 3.5 per cent at 33,562 and the NSE Nifty had added 320 points or 3.3 per cent at 9,900 at the time