PNB, SBI Shares Rally Despite Market Weakness: PSU Bank Stocks in Focus

Public sector bank stocks are witnessing strong buying interest even as the broader Indian stock market trades lower. The Nifty PSU Bank index has gained more than 1%, with Punjab National Bank (PNB) emerging as the biggest gainer among major public sector lenders.

PNB shares surged more than 4% in early trading, while stocks including State Bank of India (SBI), Bank of Maharashtra, Bank of Baroda, Union Bank of India, Indian Bank, Central Bank of India and Bank of India also traded higher.

The rally in PSU bank stocks comes at a time when the broader market is under pressure, with rising crude oil prices weighing on investor sentiment.

PNB Shares Lead PSU Bank Rally

Punjab National Bank shares led the gains among public sector banks, rising more than 4% during early trade.

PNB shares opened at around ₹114 and climbed to an intraday high of ₹119.50.

The sharp movement has put PNB among the key banking stocks to watch during the trading session.

SBI Shares Gain Nearly 1%

State Bank of India shares also remained in positive territory.

SBI stock was trading at around ₹1,076, registering a gain of nearly 1%.

The country's largest public sector bank is therefore participating in the broader PSU banking rally despite weakness in the overall market.

Bank of Baroda Stock Rises

Bank of Baroda shares were also trading higher.

The stock opened at approximately ₹246 and was trading around ₹250, representing a gain of about 1.25%.

Bank of Maharashtra Shares Jump 3%

Bank of Maharashtra was another strong performer among PSU bank stocks.

The shares were trading at approximately ₹81.54, up nearly 3%.

Other PSU Bank Stocks in Focus

Several other public sector lenders also witnessed buying interest. Shares of Union Bank of India, Indian Bank, Central Bank of India and Bank of India gained by as much as 3% during early trading.

The broad-based gains indicate strong buying interest across the PSU banking space even while the overall market remains under pressure.

Why Are PSU Bank Stocks Rising Today?

The PSU bank rally stands out because the broader market is facing selling pressure amid concerns surrounding higher crude oil prices.

Banking stocks can sometimes move independently of the broader market based on sector-specific factors, including expectations around credit growth, asset quality, interest rates and quarterly financial performance.

Investors should therefore watch whether the PSU banking rally sustains through the trading session.

PSU Bank Stocks: Key Prices

PSU Bank                           Approx. Price      Intraday Gain

Punjab National Bank            ₹119.50*      More than 4%

State Bank of India            ₹1,076               Nearly 1%

Bank of Baroda                     ₹250             Around 1.25%

Bank of Maharashtra            ₹81.54               Around 3%