IndusInd Bank jumped almost 3 percent followed by Federal Bank, RBL Bank, Axis Bank and ICICI Bank, which gained 2 percent each.
The Indian market was hit a new high early on February 15, with the Sensex up 499.45 points, or 0.97 percent, at 52043.75 and the Nifty jumped 129.40 points, or 0.85 percent, to 1,5292.70.
The market rally was led by the Bank Nifty, which gained more than a percent hitting a new record high of 36,837.35. The index has gained over 20 percent over the last month.
The index gainers included IndusInd Bank, which jumped almost 3 percent followed by Federal Bank, RBL Bank, Axis Bank and ICICI Bank, which gained 2 percent each.
The other gainers included State Bank of India, Kotak Mahindra Bank, Bank of Baroda and Punjab National Bank.
Experts are of the view that the financials are clearly one sector that investors can go overweight on, especially after the Budget 2021 that focused on driving growth in the economy.
Bank stocks have edged higher since February 1 after the Budget announced a further recapitalisation of Rs 20,000 crore in FY22E to support the PSU banks.
The share price of private lender Axis Bank hit a new 52-week high and was trading at Rs 772.05, up Rs 21.70, or 2.89 percent while that of ICICI Bank hit new highs and was trading at Rs 660.95, up Rs 13.45, or 2.08 percent.
Research firm ICICIdirect is of the view that the Bank Nifty had a positive experience for the day as it outperformed the broader market and lent the much-needed support to the Nifty.
In the weekly options space, 36,000 Call and Put options have significant OI, while there was further addition in these strikes. Thus, the Bank Nifty should consolidate around current levels, the research firm said
Disclaimer: The views and investment tips expressed by investment experts on moneycontrol.com are their own and not those of the website or its management. Moneycontrol.com advises users to check with certified experts before taking any investment decisions.
